Depreciation Areas in Asset Accounting for IFRS:
New Depreciation Area can be created with report “RAFABNEW”. Go to SE38 and read documents in details.
SAP Relevant Notes
- 430618 (Procedure for setting up new depreciation area)
- 301113 (Restrictions of RAFABNEW)
- 421549 (RAFABNEW: Error with closed fiscal years)
What depreciation terms and values does the new depreciation area receive?
Values and depreciation terms are adopted without change from the area defined as the reference depreciation area in Customizing, unless the new area is not active in the given asset class.
You can translate the currency for the new area at its creation, also using parallel currencies. The accumulated values are translated using the exchange rate valid for the acquisition date, and transactions are translated using the exchange rate valid for the asset value date.
If you want to calculate values for the depreciation area using other depreciation terms, you can specify in the initial screen that you want the terms of the asset class to be copied
Proceed as follows:
1. Define a new depreciation area in Asset Customizing (see the Implementation Guide). You also have to define the new depreciation area so that it adopts its depreciation terms and posting values from another depreciation area.
2. Check the depreciation terms in the asset classes for the new depreciation area, and change them if necessary. If you do not want to manage the new depreciation area in all asset classes, you can indicate this by making the depreciation area inactive in those asset classes.
3. In Asset Customizing, specify for the individual transaction types whether posting should always take place in the new depreciation area, or whether posting is optional. You should especially check the definitions for transaction types that only post to certain depreciation areas (such as the cost-accounting area), in case these transaction types should also take the new area into account.
4. If you also want to manage investment support measures in the new depreciation area, you also have to revise the definitions of the support measures concerned (Asset Customizing -> Valuation -> Investment support measures -> Areas).
5. Then you update the asset master records (in the Asset application menu under Periodic processing). The system then carries out the following activities:
– It adds the new depreciation area to all asset master records.
– It adds the corresponding annual values to each asset.
– The transactions for the new area are created based on the on the reference depreciation area, if you did not request that the values be zero to start out.
Also, please check if you performed the following steps when creating new dep areas:
1. Create Depreciation area via OADB.
2. Activate Depreciation area via OAYZ.
3. Automatic opening of new depreciation are via AFBN and program RAFABNEW :-
3.1 – Indicator: Leave values initial = not ticked. The system will copy all the past years values from depreciation area 01.
3.2 – Indicator: Leave values initial = ticked. Set this indicator if you want to open the newly created depreciation area without any values i.e. blank.
4. Recalculate depreciation via AFAR and program RAAFAR00.”
5. What type or areas are you trying to create, regular or revaluation areas? And the asset is an Asset under construction or a regular asset? Please check if you are using the right program.
* In case you needed to create a new depreciation area for assets under construction, you would have to use report ZZAFANEW1.
Please read note 317806(RAFABNEW: no new depreciation area for investment me) for getting additional information.