Fixed Asset Management covers the complete lifecycle of tangible assets from acquisition to disposal. It includes maintenance of the fixed asset register, calculation of depreciation, tracking of additions and deletions, and periodic verification of asset records.
Scope of Services
Services include:
Creation and maintenance of fixed asset register
Capitalisation of assets in accordance with accounting standards
Computation of depreciation under Companies Act and Income-tax Act
Recording of additions, deletions and transfers
Periodic review and updating of asset records
Key Processes
The process involves:
Classification of assets into appropriate categories
Determination of useful lives and residual values
Reconciliation of asset register with general ledger
Support for physical verification exercises
Compliance
Proper fixed asset records support accurate financial reporting, tax computations and audit requirements.