Discussing the method of depreciation of fixed assets according to Circular 45/3013/TT-BTC

Abstract

Fixed assets are labor materials of great value, long-term assets, participating in many business cycles, used to create economic benefits for businesses, the value of fixed assets is gradually transferred to product value and management costs through depreciation costs. Depreciation costs of fixed assets are included in reasonable expenses when calculating corporate income tax according to the provisions of legal documents on corporate income tax. Therefore, the Minister of Finance issued Circular No. 45/2013/TT-BTC dated April 25, 2013 guiding the management, use and depreciation of fixed assets. Correct and reasonable recording of depreciation of fixed assets is important in calculating production and business costs and affects the accounting information presented on the financial statements.