How do I transfer fixed assets between accounts

Question asked by Jeanie Stevens 11 years ago

Hi,

Is there a way of transferring fixed assets between Clear Books accounts so that they remain on both accounts? Our company has just gone limited, so we opened a new Clear Books account for the new company. The fixed assets were all entered on the old company's Clear Books account, and I need them to continue depreciating from the date of transfer in the new Clear Books account. I have tried entering one of the assets into the new Clear Books account but it wants to add the depreciation for the past year, and this wouldn't be accurate on the accounts.

Thanks,

Jade

Accounting Accounting
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3 Replies

Hello David,

You will be able to create a journal for the assets and the depreciation which has already been conducted. This will be easier than adding the assets in and manually doing the depreciation.

However, the assets will need to be added regardless for you to show the asset and the depreciation associated to it.

Please can you add the assets as you would usually but ensure that you have accumulated depreciation in the box with the figure from previous years.

Regards,

Vanish

Best answer
11 years ago

Hi Vanish,

Thanks for this. However, if I enter the correct purchase date of October 2013, it is wanting to show the depreciation every month from then, even though the company accounts only started in April 2014. I have entered the accumulated depreciation in the box as requested, but this only starts the depreciation at that rate from the October '13 purchase date. If I change the purchase date to the date the company started, I can't enter a depreciation rate more than 99, which means the economic life can't be less than a year. The item in question only had an economic life of 1 year, so it should only have an economic life of 6 months (depreciation rate of 101.044%) from April, under the new company.

You say I can create a journal for the assets and depreciation rate already conducted - would this solve the issue above? If so, please could you explain further what I would need to do, i.e. what accounts I need to debit and credit, and with what.

Many thanks for your time,

Dave

11 years ago

Hello Dave,

The best person to give you your debits and credits will be your accountant. Clear Books does not provide accounting advice so it will be best to consult your accountant for balances, debits/credits and the accounting date which will be best suited for your Fixed Assets depreciation query.

Regards,

Vanish

11 years ago

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