[Kyle Malone, CPA]

We transfer assets between GP companies & I’m having trouble finding the correct process to essentially pickup in the destination company where the source company left off.

Ex.) Source
$100 Asset; $50 A/D; $10 YTD Deprec Expense

Ex.) Dest
$100 Asset; $50 A/D; $0 YTD Depre Expense

The issue that I keep running into is if I put in $0 for YTD, the first depreciation run “catches up” the asset & would include the $10 that should only be attributed to the source company.

I’ve tried setting the “Depreciated to Date” to the date of the transfer with hopes that it wouldn’t go back & catch-up but that doesn’t work.  Maybe the only other thing to do is set the “Placed in Service” date to the date of the transfer & then set the ‘Original Life Years, Days’ to the source’s ‘Remaining Life’ but this feels convoluted.

Any experiences/recommendations here?

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Kyle Malone, CPA
GP Admin – CGB Enterprises, Inc.
Lead Consultant/Blogger – http://ALaCarteGP.com
Chapter Leader – Louisiana (New Orleans)
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