The Fixed Asset Register is the primary source for PPE roll-forward. CORAA reads the FA register and composes the block-wise schedule per କମ୍ପାନୀ ଅଧିନିୟମ 2013 Schedule II: Gross Block, Additions, Disposals, Depreciation Charge, Depreciation Reversed on Disposal, and Net Block. Schedule II useful-life verification runs against the auditee's declared depreciation method. Section 32 depreciation under the ଆୟକର ଅଧିନିୟମ for the ଟ୍ୟାକ୍ସ ଅଡିଟ୍ composes alongside.
Two paths to the same audit conclusion. One leaves traces; the other doesn't.
The FA register is uploaded at Tier III. Standard format: per-asset rows with Asset Code, Description, Class, Cost, ତାରିଖ of Put-to-Use, Accumulated Depreciation Opening, Depreciation Charged, Disposals, Accumulated Depreciation Closing, WDV.
Assets aggregate by class into blocks: Buildings (10% under Sec 32), Plant & Machinery (15%), Furniture (10%), Vehicles (15%), IT (40%), and so on. The block-wise roll-forward composes per Schedule II for company law and per Sec 32 for tax.
For each asset class, Schedule II prescribes a useful life. CORAA checks the depreciation rate against the prescribed life and flags variance. Disposals at a loss are impairment triggers requiring ଅଡିଟର୍ review.
Schedule II of କମ୍ପାନୀ ଅଧିନିୟମ 2013 prescribes useful lives for asset classes (Buildings 30-60 ବର୍ଷ, P&M 8-25 ବର୍ଷ, Furniture 10 ବର୍ଷ, etc.). CORAA verifies the depreciation method (SLM or WDV) consistency with these lives.
Section 32 of the ଆୟକର ଅଧିନିୟମ prescribes block-rate depreciation (different from Schedule II rates). CORAA composes the Sec 32 schedule alongside, with put-to-use date logic for mid-year additions.
AS 28 requires impairment testing when an asset shows signs of impairment. CORAA flags disposals at a loss, idle assets with significant accumulated depreciation, and assets in lines of business under restructuring.
Capital Work-in-Progress (Note 12) often capitalizes into PPE during the year. CORAA tracks the CWIP-to-PPE transfer with appropriate ଅଡିଟ୍ ଟ୍ରେଲ୍.
