Tangible property to the purposes of the Income Tax deemed amortization are considered:
a) Individual movable assets or sets of movables having separate technical-economic purpose, which cost greater than 1,700 euros and operating-technical functions longer than one year,
b) buildings and other structures, except
– Operation of mining projects,
– Small buildings on forest land used for the provision of forest production and hunting and fencing used for
ensuring forest production and hunting,
c) Perennial crops under paragraph 5 of the fertility period of more than three years
d) the animals listed in Annex. 1
e) Other assets
The inclusion of fixed assets and annual depreciation
In the first year of depreciation, the taxpayer must include tangible assets to one of depreciation groups pursuant to Annex. 1 of the Income Tax Act. For the classification of fixed assets except buildings and structures is based on the code of the statistical classification of products by activities and for building or construction of buildings codes, according to the Statistical Office Decree no. 323 / 2010Z.z.
With effect from 1.1.2015 it occurred in the Law on Income Tax significant changes in the depreciation of assets. In addition to expanding the number of pools was also in a reduction of accelerated depreciation, and under the transitional provisions of the Income Tax change in depreciation method, depreciation group change, change the depreciation period, the annual amortization rate, or rate of fixed assets, the taxpayer must perform well at this property, which depreciated in accordance with regulations effective until 31. 12. 2014 and has already applied depreciation retrospectively adjusted.
Depreciation period under the Law on Income Tax, effective from 1.1.2015:
1st depreciation group – four years
2nd depreciation group – 6 years
in the 3rd depreciation group – 8 years
in the 4th depreciation group – 12 years
5th depreciation group – 20 years
in the sixth depreciation group – 40 years
Tangible assets that can not be classified into depreciation groups pursuant to Annex and whose useful life does not follow regulations for the purposes of depreciation assigned to the depreciation group 2 and are amortized six years. This does not apply to fixed assets being depreciated time method, and production method according to § 26 paragraph. 6 and 7 of the Act.
Tangible assets leased under finance leases, excluding land, are depreciated to the amount of input price by its inclusion in the relevant depreciation group. According to the Law on Income Tax, effective from 1.1.2015 there is a unified method of depreciation of assets, regardless of the form of acquisition. This means that the assets held under finance leases will no longer be amortized over the lease term, but only using the straight or accelerated depreciation, according to the classification of assets into depreciation groups. Accelerated depreciation method may be used only on assets included in depreciation group 2 or third
To the new depreciation group 3 to 8 years depreciation period are classified production technologies such as electric motors, gas generators, machines for metallurgy, turbines, furnaces, burners, refrigerators and freezers. Precise definition of property belonging to the third depreciation group by CPA is located in the annex. 1 of the Income Tax Act.
To the new depreciation group 6 with a depreciation period of 40 years shall be classified buildings
– Residential buildings (buildings classification code 11)
– Hotels and similar buildings (buildings classification code 121)
– Office buildings (buildings classification code 1220)
– Buildings Public entertainment, education and health (classification code structures 126)
– Other non-residential buildings (buildings classification code 127), excluding non-residential agricultural buildings (1271) and buildings and barracks for firemen (1274)
– Other engineering structures (buildings classification code 24)
When using the building for several purposes is the classification of the building to the depreciation of its main uses crucial determined from the total floor area.
Taxpayer depreciation of tangible assets straight-line method (§ 27). The method of accelerated depreciation (§ 28) the taxpayer may depreciate fixed assets classified in accordance with Annex. 1 to depreciation group 2 and 3. The method determines depreciation for each taxpayer novoobstaraný tangible assets.
On the last day of the tax period the taxpayer may claim tax depreciation in the amount of calculated annual depreciation of fixed assets according to § 26 paragraph. 6 and 7, § 27 and § 28, which billed on the last day of the tax period and which is used to provide taxable income. If the assets in which the net book value of tax expenses only to the proceeds of the sale pursuant to § 19 par. 3 point. b / first point taxpayer may apply for depreciation in the amount corresponding to the number of whole months during which the taxable asset accounts. That is true by the time the tax return after 31 December 2015.
Source: Financial report