Financial reporting depreciation and tax depreciation almost never follow the same method or duration - tax law often mandates accelerated methods, half-year conventions, or fixed statutory lives that have nothing to do with the useful life used for the books. Standard Odoo's Assets app only has room for one.

• Accountants track the tax schedule in a separate spreadsheet, disconnected from the actual asset register
• No visibility into which assets are creating taxable vs. deductible temporary differences
• Computing the deferred tax asset/liability for IAS 12 / ASC 740 provisioning means manually re-deriving every asset's numbers each period
• Any attempt to "force" the tax schedule into the book asset risks polluting the general ledger with entries that were never meant to post
• Multi-company groups have no consolidated view of book-to-tax differences across entities

Give any asset its own Tax Profile - method, duration, period, declining factor, salvage value, half-year convention - right next to its book profile. Click Compute Tax Depreciation and the module builds a purely statistical schedule stored on the asset itself. Nothing is ever posted to the general ledger. A dedicated Book-to-Tax Reconciliation report shows cost, book and tax accumulated depreciation, net book value, tax base and the resulting temporary difference for every asset - and a Deferred Tax wizard turns that difference into a draft journal entry your accountant reviews before posting.

Three assets, three outcomes: two taxable differences and one deductible - totalled at the bottom of every column

Manufacturing Equipment Pool - $245,000 in cost across 2 assets, rolled up to a single $71,901.93 taxable difference

At a 25% rate: $17,975.48 deferred tax liability, $516.67 deferred tax asset - net $17,458.81 deferred tax expense

$17,975.48 debit = $17,975.48 credit - balanced, in Draft state, one click away from Post

  IAS 12 / ASC 740 Provisioning

Tax accountants and controllers preparing deferred tax provisions get every asset's temporary difference in one report instead of a side spreadsheet.

  Multi-Company Groups

Each asset follows its own company and currency, so a holding structure can consolidate book-to-tax differences across every entity from one report.

  Accelerated Tax Depreciation Regimes

Jurisdictions allowing declining-balance or bonus/half-year-convention tax depreciation on assets book-depreciated straight-line - a classic taxable-difference scenario.

  Year-End Close

Run the Deferred Tax wizard once at period end, review the draft entry, and post - instead of reconstructing DTA/DTL from scratch every close.

  Audit-Ready Documentation

Auditors can trace every temporary difference back to its asset, its tax method, and its schedule - all inside the same Odoo record, not a disconnected file.

  Asset Classes & Machinery Pools

Group a vehicle fleet or an equipment class into a Tax Depreciation Pool and report on it as a single line instead of dozens of individual assets.

Zero General Ledger Risk

Tax depreciation lines are stored on the asset only and never linked to a journal entry - there is no way for the tax schedule to accidentally affect the books.

Accountant-Controlled Posting

The Deferred Tax wizard only ever produces a draft entry. Nothing posts automatically - your accountant always has the final review.

Faster Period-End Close

Replace an external deferred tax spreadsheet with a live report and a one-click wizard - less manual re-derivation, fewer transcription errors.

One Source of Truth

Book and tax profiles live on the same asset record, so there is never a question of which spreadsheet is up to date.

1 - Turn On Tax Depreciation for an Asset

Accounting -> Assets and Revenues -> Assets -> open (or create) an asset -> Tax Depreciation tab -> enable Compute Tax Depreciation -> set the tax method, duration, period, rate and salvage value -> click Compute Tax Depreciation.

2 - Review the Reconciliation

Accounting -> Assets and Revenues -> Book-to-Tax Reconciliation -> review cost, accumulated book/tax depreciation, net book value, tax base and temporary difference for every tax-enabled asset, in list or pivot view.

3 - Compute and Post Deferred Tax

On the Assets list, select the relevant assets -> Actions -> Compute Deferred Tax -> set the tax rate, journal and the three accounts (Deferred Tax Liability, Deferred Tax Asset, Deferred Tax Expense/Benefit) -> Generate Draft Entry -> review and post from Accounting as usual.