Set up a Capex register

The Capex workpaper can be used to record the net book values of assets. 

This article goes through some tips on using the Capex workpaper, how to set up the workpaper and linking a workpaper to a capex register. It also takes you through how to easily import capex details into the capex workpaper.

To set up a Capex register, you need to firstly add the register, then add the register data. You can either manually enter or import the capex register data.  See below for further information on how to import the capex data.

You can also link a workpaper to the register.

Things to know

• You may want to only set up the highest level of capex register required for your output. Don’t try to re-create all the fixed asset register categories.
• We recommend setting up a new capex register where the tax accounting treatment differs, for example if an asset class has a different deferred tax treatment to other assets. Assets with the same tax accounting treatment can be included as part of one capex register.
• Deferred tax for capex items are driven off the closing net book values in the prior year. Please record these amounts in the prior year.

Add a Capex register

1. In the entity’s income tax return, click the Workpapers tab > Capex.
2. Click the Add register button.
3. Enter the register code and name.
4. Enter the first section (account) code and name, for example Vehicles.
   
   

   Each section that you add in the register is reflected as a separate line in the Deferred Tax Proof.

   
   
5. Clear the Include in deferred tax proof check box, if you do not want to include the register in the Deferred Tax Proof.
6. Click Save.
7. Click the register name link to open it.
8. Add other sections (accounts):
   1. Click Add section.
   2. Enter the section code and name, for example Buildings.
   3. Click Save.
   4. Repeat the above steps until you have added all of the sections of the register.
9. Proceed to add the register data.

Add register data

Once you add the register, you can add the opening balances, additions, disposals and other adjustments to the applicable sections. When you roll the income tax return over to the next year, the closing balances in the register will be rolled over as opening balances in the next year.

1. On the register page, click the section (account) that you want to add data to.
2. Click New opening.
3. Enter the opening balances.
4. Optional: Add a note or attach a file.
5. Click Save.

Edit or delete a section

1. On the register’s page, locate the section (account).
2. Click the Settings button.
   • To edit the section name or code: Click Edit, make your changes, then click Save.
   • To delete the section: Click Delete.

Edit or delete register data

1. On the register’s page, click the section (account) that contains the data.
2. Locate the data you want to edit or delete.
3. Click the Settings button.
   • To edit the data: Click Edit, make your changes, then click Save.
   • To delete the data: Click Delete.

Link a workpaper to the Capex register

Once you have set up your Capex register, you can link the following types of workpapers to the register: Depreciation, Disposal, and Expenses capitalised for tax.

1. Ensure the workpaper is added to the account. See Add a workpaper.
2. Click the workpaper link to open the workpaper.
3. Select the applicable section from the Capex register drop-down list.

To undo this action, i.e. unlink the workpaper from the Capex register, click the Unlink workpaper button next to the Capex register drop-down list.

Import Capex register data

Before importing the capex register data, you will need to set up the capex workpaper. Set up the register, section and each line (Opening cost, additions, disposals etc). You are then ready to export the capex template. Update the template with relevant amounts before importing into TaxLab. The instructions below guide you through how to set up the register and then export the template.

To import the Capex register details, follow the steps below:

1. Click the Workpapers tab > Capex.
2. Add a register and a section.
   
   

   Remember to add a register code and section code as these codes are used by TaxLab to identify where to import the capex details. Codes need to be unique across the capex section for the entity.

   
   
3. Continue adding as many registers and/or sections as required.
4. Click on the register > section:
   • For each line under Cost and Accumulated Depreciation (Opening. Additions, Disposals etc) that you want to import, add a new entry, including an entry code. 
   • Codes need to be unique across the capex section for the entity.
5. Click the Workpapers tab > Capex Details.
6. Click the Export button to download the details into Microsoft Excel.
7. Open the file, update the amounts, then save the file.
   
   

   You may want to include the tab (from the exported file) into a file that contains the fixed asset register data so that you can reference the data. Please note that the tab that contains the capex details needs to be the first tab in the Excel file that will be imported.

   
   
8. Back on the Capex Details page, click the Import button.
9. Locate and select the updated file, and click Open.
10. If the import is successful, a message displays in a green banner informing you of the number of records that were imported. 
11. Click the Close button.

Subsequent years

Once you have initially set up the Capex register, you can roll forward the capex details in subsequent years. Any accounts linked to a capex register in the previous year will roll forward automatically. 

To roll forward the lines on Capex Details:

1. In the previous year, click on Workpapers > Capex Details.
2. Click on Export to download the details in Microsoft Excel.
3. Update the Amount column in Microsoft Excel. The opening balances roll forward automatically in TaxLab. So you may want to delete these lines.
4. Go to the subsequent year, click on Workpapers > Capex Details.
5. Click on Import. 
6. Locate and select the file, and click Open.
7. If the import is successful, a message displays in a green banner informing you of the number of records that were imported. 
8. Click the Close button.