Depreciation Methods Research Articles

A Depreciation Method Based on Perceived Information Asymmetry in the Market for Electric Vehicles in Colombia

A Depreciation Method Based on Perceived Information Asymmetry in the Market for Electric Vehicles in Colombia

Analisis Rekonsiliasi Fiskal terhadap Perhitungan Pajak Penghasilan pada PT Dwi Putra Karya Sukses

In the Astra International company, there is a reconciliation phenomenon in the asset depreciation section where there are different depreciation methods for commercial financial statements compared to fiscal financial statements research objectives: 1. To find out the calculation of Fiscal Reconciliation at PT Dwiputra Karya Sukses 2. To find out the calculation of taxes payable at PT Dwiputra Karya Sukses 3. To find out the calculation of the comparison of commercial profit and fiscal profit The type of research method used by the author is descriptive qualitative method. According to Bogdan and Biklen in Sugiyono (2020: 7) descriptive qualitative research methods are data collection in the form of words or pictures, so they do not emphasize numbers. By doing the right Fiscal Reconciliation, PT Dwiputra Karya Sukses can see the comparison between Taxable Income (PKP), namely before making a fiscal correction of Rp. 52,777,780 and after Fiscal Correction of Rp. 52,607,673. the difference in Taxable Income (PKP) also results in differences in Income Tax Payable that will be paid. The amount of income tax before fiscal correction is Rp. 5,808,555 and the amount of income tax after fiscal correction is Rp. 4,665,952. There is a difference in income tax payable of Rp. 1,142,603. Fiscal reconciliation of commercial financial statements is closely related to each other. Because it starts from revenue and expenses to the preparation of fiscal profit and loss and ends in income tax that must be paid by the company.

Analysis of Depreciation Methods Based on Cooperative Game Theory — Focusing on the Straight-Line Method

This study develops a model to explain why accounting procedures, also known as Generally Accepted Accounting Principles, are “generally accepted”. For this purpose, we focus on depreciation defined as the rational and systematic allocation of the original cost of an asset over the expected useful life of that asset. We investigate what it means to be “rational” using cooperative game theory. We show that cost allocations determined by the straight-line (SL) method, which is conventionally used worldwide, are elements of the core and that the conditions of the core can be rational in practice. Furthermore, we examine the relationship between the SL method and other solution concepts, such as the Shapley value and the nucleolus. Our next step is to clarify the characteristics besides the core selection of the SL method, those of other depreciation methods used in practice, and the logical relations between these characteristics.

Factors influencing the choice of depreciation method for valuation purposes

The current study examined the factors influencing valuers’ choice of depreciation method for property valuation purposes. Using a mean consensus analytical framework, we demonstrate that the factor of appropriateness is the main driver influencing valuers’ choice of depreciation method with a very high consensus value. This takes precedence over the simplicity of the depreciation method and valuer’s familiarity with the method both of which had a consensus score a little above average. The study recommends further research into the factors influencing the choice of depreciation rate when applying the various methods of depreciation.

Does Capital Intensity Moderate The Effect Of Financial Distress And Operational Performance Tax Avoidance In Regional-Owned Enterprises In Water Supply?

Tax avoidance is a legal practice by companies as an effort to reduce the tax burden distributed to the state. This is commonly done by companies, both private and government-owned. Regional-Owned Enterprises in Water Supply as a company owned by the Regional Government has a dual role, namely providing public goods and generating profits. This research aims to analyze the influence of financial difficulties, service effectiveness, and operational efficiency on tax avoidance with capital intensity as a moderating variable in Regional-Owned Enterprises in Water Supply. This research uses quantitative methods with secondary data obtained using documentation data collection methods. The sample in this study was selected based on purposive sampling and resulted in 117 companies spanning the period 2019-2022. The data analysis technique in this research uses multiple linear regression analysis using the Eviews version 12 program with a significance level of 5%. The results of this study show that financial difficulties and service effectiveness have a significant negative effect on tax avoidance, but operational efficiency has an insignificant positive effect on tax avoidance. The aggressiveness of Regional-Owned Enterprises in Water Supply towards tax avoidance is not as high as other organizations that are completely profit-oriented. This is possible because human resources do not understand taxation. In addition, direct supervision by the Regional Government makes management more alert to violations of statutory regulations. Capital intensity can weaken the influence of financial difficulties on tax avoidance and strengthen the influence of operational efficiency on tax avoidance. The greater the number of company fixed assets, the greater the depreciation expense, management can choose the depreciation method that is most profitable for the company.

APPLICATION OF TAX PLANNING TO THE FIXED ASSET DEPRECIATION METHOD AT PT. PERKEBUNAN III

This research analyzes the impact of implementing tax planning on the fixed asset depreciation methods within PTPN III. The main objective of this study is to identify how the implementation of tax planning strategies affects the choice of fixed asset depreciation methods within PTPN III. The research method employed is a quantitative approach, collecting data through in-depth interviews with relevant stakeholders at PTPN III and analyzing documents related to the depreciation policies and the company's tax planning strategies. The results of this research show that by incorporating the straight-line depreciation method (tax) into its fixed asset depreciation, with a total accumulated depreciation smaller than declining balance (tax), PTPN III has saved on taxes, thus achieving its tax planning objectives.

Comparison Of Depreciation According To Sak And Tax Law At Pt. Nurindo Pratama Logistik And Its Impact On Taxable Income (PKP)

This study aims to determine the comparison of depreciation according to SAK and Tax Law at Pt. Nurindo Pratama Logistik and its effect on Taxable Income (PKP). The author wants to find out and understand how the Depreciation Calculation according to SAK with taxation and how it affects or impacts PKP. The method used is a qualitative method with secondary data, namely data in the form of income financial statements and a list of depreciation of fixed assets at Pt. Nurindo Pratama Logistik. The results showed that the calculation of depreciation expense from the two methods, namely the depreciation method according to SAK and taxation (fiscal) in 2019, caused a difference of IDR 17,084,950.00, causing a negative fiscal correction, due to Pt. Nurindo Pratama Logistik determines a useful life of 5 years while the tax law provides a useful life of 4 years. The calculation of depreciation expense from the two methods, namely the depreciation method according to SAK and taxation (fiscal) in 2020, caused a difference of IDR 15,623,842.50, causing a negative fiscal correction, due to Pt. Nurindo Pratama Logistik determines a useful life of 5 years while the tax law provides a useful life of 4 years. The calculation of depreciation expense from the two methods, namely the depreciation method according to SAK and taxation (fiscal) in 2021, caused a difference of IDR 16,724,650.00, causing a negative fiscal correction, due to Pt. Nurindo Pratama Logistik determines a useful life of 5 years while the tax law provides a useful life of 4 years.

Analisis Perencanaan Pajak Melalui Metode Penyusutan Untuk Menghitung PPh Pasal 17 Perusahaan Jasa Konstruksi Sebagai Upaya Meminimalkan Beban Pajak Pada PT. Bisma Indo Raya Surabaya Tahun 2022

This research aims to analyze tax planning using the depreciation method to calculate corporate income tax article 17 as an effort to minimize the tax burden. The data analysis technique used in the research is quantitative descriptive. The data source used in this research is primary data. This research was conducted at PT. Bisma Indo Raya which is located on Jl. East Gayungsari No.16 Surabaya (Behind the PKB Building). The results of this discussion show that the total profit before tax before tax planning from depreciation is Rp. 1,030,470,668, with corporate income tax article 17 amounting to Rp. 226,703,547, resulting in a profit after tax of Rp. 803,767,121. While the calculation of profit after tax planning because there is a correction of depreciation costs using the straight line method, the total profit before tax after tax planning from straight line method depreciation is Rp. 609,820,542 with corporate income tax article 17 of the company amounting to Rp. 134,158,319, so obtained profit after tax amounting to Rp. 475,652,223. Calculating the profit after planning tax due to correction of depreciation costs using the declining balance method, the total profit before tax after tax planning from depreciation is Rp. 486,588,810 with corporate income tax article 17 of Rp. 107,049539, so that the profit after tax is Rp. 379,539,272. So the difference in efficiency of paying income tax if using the straight line depreciation method is Rp. 92,545,228, whereas if using the decreasing balance depreciation method it is Rp. 119,654,009. So the declining balance is smore effective to use because it can provide greater tax reduction efficiency to the company.

Strategi Analisis Kelayakan Pengadaan Mesin Rotary Veneer Guna Meminimalkan Biaya produksi

Company PT. Romi Violeta experienced a problem, namely high production costs due to the use of cutting machines for Veneer using outside services. Based on the NPV method calculation, it produces Rp. 278.411.141. Calculations using the IRR method produce 14.67%. Calculations using BEP produce 3 years 6 months. Calculations using the B/C method produce 1.01. Calculations using the DBD Depreciation method produce a total of Rp. 1,785,251,635. It is said that by using the above method it is worth investing in a rotary veneer machine

ANALISIS DAMPAK KOREKSI FISKAL PENYUSUTAN ASET TETAP TERHADAP PAJAK PENGHASILAN BADAN PADA PT. ALAM SEGAR

This descriptive research is aimed to analyze the fiscal corrections impact for fixed asset depreciation on corporate income tax at PT.Alam Segar. The analysis technique is conducted by comparing calculation of fixed assets depreciation according to commercial accounting with fiscal accounting, also calculation of PT.Alam Segar Corporate Income Tax 2022. The secondary data analyzed is depreciation of fixed assets and income and operational costs. The research results show although the depreciation method used is the same, the results of the fixed asset depreciation calculations are different. Fixed assets depreciation according to commercial accounting is Rp.308,750,000 and fiscal accounting is Rp.265,425,000. There is a difference in depreciation charges of Rp.43,325,000. This difference causes need for a positive fiscal correction. This correction has an impact on the amount of profit as a basis for calculating tax from Rp.1,669,000,000 to Rp.1,712,325,000. There is a difference in the increase in the amount of PPh payable due to fiscal corrections amounting to Rp.9,531,500. PT.Alam Segar is expected to calculate Income Tax correctly and accurately. KPP is expected to conduct intensive socialization, therefore all taxpayers understand changes in applicable tax regulations.

АМОРТИЗАЦІЯ В ЗНАЧЕННІ ІНСТРУМЕНТАРІЮ ВІДТВОРЕННЯ ВЛАСНИХ ІНВЕСТИЦІЙНИХ РЕСУРСІВ

The paper examines depreciation as an effective tool for replenishing one’s investment resources. The theoretical foundations of depreciation and its significance in business management and financial management are discussed here based on the processes of simple and expanded capital reproduction of the company. The significant features of simple and expanded reproduction, which lie precisely in the possibility of capitalization of financial resources invested in production funds, are separately noted. The place and role of depreciation at various stages of social production reproduction are determined. Depreciation in this case serves as a tool for capitalizing resources. The circulation process of the main production capital (MPC) at various stages, namely, circulation, production, and circulation, is examined. The peculiarity of creating the final material product, which precisely allows for the capitalization of financial resources, is highlighted, and the secondary role of expenditure processes in circulation without which the realization of the finished product is not possible is determined. It is determined that the useful value of the main production capital (MPC) is the means of labor that have useful properties for production: they participate in the process of creating new useful value. MPC as value is social labor embodied. The activation of the reproduction of the main capital implies, first of all, the acceleration of its real circulation, which is manifested in the reduction of the reproduction cycle. And since the reproduction cycle of the main capital includes stages of innovative production, industrial production, testing, operation, and replacement, its reduction contributes to the renewal, modernization of means of labor, optimal use of available production capacities, which allows increasing capital productivity and production efficiency as a whole. All possible alternative sources of forming investment resources of enterprises are considered in the study, where separate instruments that can be applied to the reproduction process are distinguished. It is determined that leasing deserves separate attention as a tool of amortization reproduction, since it has certain features of depreciation accrual and its accounting on the company’s accounts depending on the methods of depreciation and the chosen type of leasing. The problem of effective reproduction of the company’s capital is considered from various points of view and at different levels of management.

Analisis Perencanaan Pajak Melalui Penyusutan Aktiva Tetap untuk Menghitung Pajak Penghasilan (PPh) Badan

The aim of this research is to find out the difference between straight-line and double-declining depreciation methods in determining profit that will affect the tax burden, so that good and efficient tax planning can be carried out by CV. Yan's Jaya. This study uses a descriptive quantitative method with data collection techniques using secondary data derived from the financial reports of CV. Yan's Jaya. The results of this study are the calculation of depreciation using the straight-line method used for depreciation of buildings while vehicles and office inventory use the declining balance depreciation method. There are differences in the calculation of depreciation of fixed assets, the use of depreciation rates and costs incurred when acquiring fixed assets, where the depreciation expense according to the company shows a smaller value than the depreciation expense according to the applicable tax regulations. There are differences in profit margins that do not reflect actual income. The implication of this research is that CV. Yan's Jaya can carry out tax planning, especially in the depreciation of fixed assets in accordance with the applicable tax laws.

Посилення ролі амортизаційної політики у формуванні фінансового базису капітальних інвестицій та інвестиційної безпеки держави

In martial law conditions, the problem of making capital investments becomes even more tangible for business entities, given the limitation of their financial capabilities, which, accordingly, affects the investment security of the state. The situation is aggravated due to the lack of sufficient interaction between the state's investment security provision and depreciation policy. The article's purpose is to form conceptual directions for the development of depreciation policy as a tool for financial support of the state's investment security. The study results indicate that the current state of affairs with the allocation of depreciation deductions to finance current assets contradicts the laws of the circulation of individual capital and does not allow the restoration of fixed assets at the required level. This situation is caused by the improper reflection of the content of depreciation in Ukrainian legislation at various levels, which reduces its perception as a means of reducing tax liabilities. The economic content of depreciation as a source of capital investments should not change depending on the way to ensure the targeted use of these funds because depreciation deductions are costs from the point of view of the economic (accounting) concept and a source for investment – from the point of view of the financial concept. However, to ensure all functions (reproductive, financial, regulatory), the state must delegate to business entities the maximum rights to determine depreciation norms and methods. Accelerated depreciation should not be an exception, as it loses meaning in interpreting depreciation in the context of classical approaches to circling individual entrepreneurial capital. The proposed theoretical approaches, subject to the application of appropriate mechanisms, will increase the resource base of capital investments, including the expanded reproduction of fixed assets, ultimately improving the state's investment security.

Влияние методов амортизации активов на эффективность хозяйственной деятельности транспортной корпорации

The relevance of the study is due to the search for modern, most advanced and convenient approaches for transformation and digitalization, for the formation of financial savings sufficient for the renovation of assets. The study of the dependence of depreciation policy, financial stability and the efficiency of economic activities of transport corporations allows us to determine the main directions of asset renovation. The object of the study is the process of forming a depreciation strategy for transport corporations aimed at creating sufficient financial savings. Sufficiency is determined by the real possibility of providing the required volumes of financing for the renovation of public pension facilities. The purpose of the work is to develop a methodological approach for the formation of a depreciation strategy as part of improving the financial management of national transport corporations. The tasks that required their solution to achieve this goal required: consideration of the general theoretical foundations associated with the study of modern developments on the formation and development of a depreciation strategy for replenishing one’s own sources of investment finan­cing; development of an effective depreciation strategy for a transport corporation. Strategies based on the use of combined methods of calculating depreciation, taking into account their impact on the efficiency of business activities; analysis of methods for calculating depreciation based on objective and reliable information, namely, accounting and tax accounting data. The research is based on the methods of induction, deduction and general cognition. Using the example of an operating passenger suburban railway corporation, the results of a study of the influence of the choice of depreciation methods (depreciation bonus) of the active part of production fixed assets on taxation, efficiency and quality indicators of its production, economic and financial activities are presented. The results of the study have proved that when using methods of logical, statistical and correlation analysis, it is possible to use scenario approaches as the main tool for developing a rational depreciation policy for a suburban passenger railway corporation. The conclusions are based on practical recommendations for the formation of an accounting policy of a railway corporation, allowing to accumulate funds and form strategic savings sufficient for the complete restoration of active fixed assets.

ЗОЛОТАЯ СЕРЕДИНА В АМОРТИЗАЦИОННОЙ ПОЛИТИКЕ: ПОИСК ОПТИМАЛЬНОЙ СТРАТЕГИИ

The article is devoted to the problems of developing an effective depreciation policy in the context of the interaction of accounting and tax accounting. The authors analyze the current problems associated with the choice of depreciation methods and offer recommendations on finding a golden mean, accounting for depreciation deductions and optimizing tax liabilities. As a result of the analysis of the features of the depreciation policy, the factors influencing its formation in both types of accounting are determined.

Study of Making Concrete Block Using Gawan River Sand and Coal Waste (Bottom Ash) with Portland Cement Padang Viewed from the Perspective of Strength and Production Costs

Data from the DPUPR of Sragen district, the price of Merapi sand in 2020 is IDR 1,590,000 then in 2021 the price of Merapi sand is IDR 1,680,000. The increase in the material price of Merapi sand in Sragen Regency has forced the brick maker UD. Cerah, whose address is in Dayu village, Jurang Jero sub-district, Karangmalang subdistrict, Sragen district, is again racking her brains to set a selling price for the bricks to avoid losses. The making of the brick itself cannot be separated from the costs incurred for purchasing raw materials, purchasing equipment for making bricks, and labor costs. So with the high price of Merapi sand material, it requires that the brick maker, UD. Sunny innovates by replacing the cheaper sand material. In this study using experimental methods for making bricks, using the full costing method for calculating production costs and using the depreciation method to obtain the annual depreciation load for brick machines. Based on research on the characteristics of fine aggregate river sand from Ngipang village, Gawan subdistrict, Tanon sub-district, Sragen district, the results of testing for silt content, testing for organic matter content, testing for specific gravity and water absorption, gradation testing met the requirements while testing for saturated surface dry (SSD) did not meet the requirements. Then research on the characteristics of fine aggregate from coal waste (bottom ash) obtained the results of testing for mud content, testing for organic matter content, testing for gradation that met the requirements while testing for specific gravity and water absorption, testing for saturated surface dry (SSD) did not meet the requirements. Based on the research on the compressive strength test of the bricks, it was found that the compressive strength of the bricks from river sand, Ngipang village, Gawan sub-district, Tanon sub-district, Sragen district was greater than the compressive strength of the bricks from coal waste (bottom ash), the maximum average compressive strength value of bricks from river sand in the village Ngiang, Gawan sub-district, Tanon sub-district, Sragen district obtained a value of 6.51 MPa on the 1PC : 5PS FAS mixture variation of 0.5, while the maximum compressive strength value of bricks made from coal waste (bottom ash) obtained a value of 5.10 MPa on the variation mix 1PC : 5BA FAS 0.6. Based on research on the production costs of making bricks, it was found that the production costs of making 1 m3 of river sand bricks in Ngipang village, Gawan sub-district, Tanon sub-district, Sragen district were greater than the production costs of making 1 m 3 of coal waste (bottom ash) bricks, the production costs of 1 m3 river sand bricks in Ngipang village, village Gawan, Tanon sub-district, Sragen district, the highest is in the mix variation of 1PC: 5PS FAS 0.6 with the production cost of IDR 962,237.49, while the largest 1 m3 coal waste (bottom ash) brick production cost is in the 1PC mix variation: 5BA FAS 0.6 with a production cost of IDR 659,285.51.

Analisis Perencanaan Pajak Melalui Metode Penyusutan untuk Menghitung PPh Badan Pasal 17 Perusahaan Jasa Konstruksi Sebagai Upaya Meminimalkan Beban Pajak pada PT. Bisma Indo Raya Surabaya Tahun 2022

This research aims to analyze tax planning using the depreciation method to calculate corporate income tax article 17 as an effort to minimize the tax burden. The data analysis technique used in this research is quantitative descriptive. The data source used in this research is primary data. This research was conducted at PT. Bisma Indo Raya which is located on Jl. East Gayungsari No.16 Surabaya (Behind the PKB Building). The results of this discussion show that the total profit before tax before tax planning from depreciation is Rp.1,030,470,668, with corporate income tax article 17 amounting to Rp.226,703,547, resulting in a profit after tax of Rp.803,767,121. while the calculation of profit after tax planning because there is a correction of depreciation costs using the straight line method, the total profit before tax after tax planning from straight line method depreciation is Rp.609,810,542 with corporate income tax article 17 of Rp.134,158,319, so a profit is obtained after tax amounting to Rp.475,652,223. Calculating profit after tax planning due to correction of depreciation costs using the declining balance method, the total profit before tax after tax planning from depreciation is Rp. 486,588,810 with corporate income tax article 17 of Rp.107,049,538, so the profit after tax is Rp.379,539,272. So the difference in efficiency of paying income tax if you use the straight line depreciation method is Rp.92,545,228, whereas if you use the decreasing balance depreciation method it is Rp.119,654,009. So the declining balance method is more effective to use because it can provide greater tax reduction efficiency to the company

Book depreciation methods under intuitionistic fuzzy environment

In general, depreciation is the monetary value of wear and tear on capital goods inherited from previous years while creating goods and services as a result of production activities. The subject of depreciation is the addition of the loss of value that will occur in the economic values that are thought to be used in a company for more than one year. The most common depreciations methods, straight-line method, declining balance method, and unit-of-production method, are almost always handled with crisp numbers in the literature. However, the uncertainty in the parameters such as initial invest cost, salvage value, and useful life, requires the usage of fuzzy sets to represent the vagueness in these values more realistically. For this purpose, in this study, the depreciation methods are developed under intuitionistic fuzzy environment. The main contribution of this paper to the literature is that it presents the depreciation methods under intuitionistic environment with new equations for the first time. The proposed models are applied to an autonomous trolley problem to illustrate the given approach.

Estimation of economic life and feasibility of combine harvesters in Bangladesh deploying a unique web-based app

Combine harvester is one of the most crucial pieces of harvesting equipment in modern agriculture. Farmers and entrepreneurs employing a combine harvester need to focus on two pivotal factors: its profitability and optimal replacement time. Proper performance in this scenario can lead to prompt, and high-quality farm operations, enhancing income and simultaneously reducing product expenses significantly. This paper proposes a web-based application that would allow estimating the economic life and feasibility of combine harvesters in Bangladesh. The minimum cost value determination process has been used to estimate economic life by applying the double declining depreciation method. A high-level Python web framework has been used for the design and development of the software. The combine harvester exhibits a consistent economic life of 10 years for 300 to 450 hrs of annual use, with an increase in average yearly use from 300 to 450 hrs. As average yearly usage increases, the combine harvester's economic life declines drastically after 500 hrs of operation. Comparison with manual estimation shows that economic feasibility estimated by the web-based app provides more relevant data. The web-based app provides a useful tool for farmers, and entrepreneurs in Bangladesh to estimate the economic life and feasibility of combine harvesters, enabling better decision-making and improved managerial policies.

A Comparison of Bulgarian Accounting and Tax Depreciation Methods with Select EU Member States

This note, after surveying the provisions of select EU Member States, outlines the specifics of tax depreciation rates for different kinds of assets in Bulgaria. Further, it compares tax depreciation to the depreciation schemes applied by companies following their own accounting policies. Special attention in the analysis is given to the effect of having differing depreciation schemes for tax and accounting purposes.