Intermediate

Depreciation book vs tax (MACRS/IFRS) schedule tie-out

Compares book depreciation to tax depreciation, identifies differences, and prepares supporting schedules. Useful for both compliance and provision teams.

Tie out book vs tax depreciation for {tax_year}.

Inputs:
- Fixed asset register: {fixed_asset_register}
- Book depreciation policy: {book_dep_policy}
- Tax depreciation method/conventions: {tax_dep_method}
- Prior-year tax depreciation schedules: {prior_tax_schedules}
- Disposals and placed-in-service dates: {adds_disposals}

Output:
1) Reconciliation table by asset class: Book dep, Tax dep, Temporary difference.
2) Updated tax depreciation schedule outline (with conventions noted).
3) Supporting documentation needed (invoices, placed-in-service evidence).
4) Common error checks (missing disposals, wrong convention, bonus limits).

Keep calculations transparent and easy to audit.

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