Fixed Asset Management is Here — Built for Tanzania Businesses

Tanzania businesses have always needed a proper fixed asset register — not just for internal management, but for TRA compliance. Today we're launching the Asset Management module: a complete fixed asset lifecycle solution built directly into eSecured ERP.

What's included

Fixed Asset Register

Every physical and intangible asset your business owns lives in one place — vehicles, machinery, buildings, computers, office equipment, and more. Each asset record stores:

• Category and TRA depreciation class
• Acquisition date, cost, currency, and supplier
• Serial number, location, and assigned user
• Notes and a full maintenance history

The register uses the Business Central navigation pattern — a searchable list, a FactBox summary panel when you click a row, and a full detail page with three tabs: Asset Info, Depreciation Schedule, and Maintenance Log.

TRA Depreciation Classes

Tanzania's Income Tax Act sets statutory depreciation rates for different asset classes. The module implements all four:

Class	Rate	Typical assets
Class 1	37.5%	Computers, automobiles, buses
Class 2	25%	Trucks, trailers, plant & machinery
Class 3	12.5%	Railways, pipelines, industrial buildings
Class 4	5%	Other buildings and structures

When creating an asset, select a TRA class and the system automatically sets the depreciation method and rate. This means your depreciation is aligned with TRA requirements from day one.

Depreciation Methods

Two methods are supported in addition to None (for non-depreciable assets like land):

Straight-Line (SL): Annual depreciation = (Cost − Residual Value) ÷ Useful Life. The same amount is charged every year until the asset reaches its residual value.

Declining Balance (DB): Annual depreciation = Net Book Value × Rate%. Depreciation is highest in the early years and decreases as the asset's book value falls. This mirrors the TRA class rates.

A live preview in the form shows you the annual and monthly depreciation amount as you fill in the numbers — no guesswork.

Depreciation Schedule

The detail page shows a projected year-by-year depreciation table: opening book value, annual charge, and closing book value for every year of the asset's life. This makes it easy to forecast tax depreciation claims and plan cash flow.

Monthly Depreciation Run

Instead of calculating depreciation manually, run it for all assets at once:

1. Go to Accounting → Fixed Assets → Run Depreciation
2. Select the period (year and month)
3. Review the preview table — every active depreciable asset listed with its monthly charge
4. Confirm — the system updates each asset's accumulated depreciation and creates a Draft journal entry for review and posting

The journal follows standard double-entry:

DR  Depreciation Expense Account   [monthly amount per asset]
CR  Accumulated Depreciation Account [monthly amount per asset]

Asset Disposal

When an asset is sold, scrapped, or written off:

1. Open the asset → click Dispose
2. Enter the disposal date, method (Sale, Write-off, Donation, Scrapped), and sale proceeds if applicable
3. The system calculates the gain or loss on disposal instantly
4. A Gain on Disposal is taxable income — the module flags this with a TRA note
5. A Loss on Disposal is tax-deductible

The asset status changes to Disposed or Written Off. The record is retained in full for audit purposes.

Maintenance History

Every asset has a Maintenance Log tab — a chronological record of all service events:

• Date
• Description of work done
• Cost
• Vendor or workshop name

This is especially valuable for fleet vehicles and heavy equipment, where a documented service history affects both resale value and insurance.

GL Integration

Each asset can be linked to three GL accounts:

• Asset Account (Balance Sheet — Assets): records the original cost
• Depreciation Expense Account (Profit & Loss): where the monthly depreciation charge goes
• Accumulated Depreciation Account (Balance Sheet — contra-asset): running total of all depreciation posted

When accounts are configured, the monthly depreciation run automatically creates GL journal entries. Without accounts configured, the run still updates the asset register and you can post manually.

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Why this matters for Tanzania

Fixed assets are central to TRA income tax compliance. The Income Tax Act requires businesses to use the class-based declining balance method for tax depreciation — not IFRS useful-life estimates. Without a proper register:

• You risk under- or over-claiming depreciation in your tax return
• Auditors have no paper trail for asset movements, disposals, or write-offs
• Gain/loss on disposal goes unreported

The Asset Management module solves all three. Your register, your depreciation calculations, and your disposal records are all in one place — ready for a TRA audit.

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Getting started

1. Go to Platform Modules and enable Asset Management
2. Navigate to Accounting → Fixed Assets
3. Click + New Asset and register your first fixed asset
4. Select the TRA depreciation class — the rate fills in automatically
5. Link GL accounts if you have your Chart of Accounts configured
6. Run your first monthly depreciation from the Run Depreciation button

Read the full documentation → Fixed Assets Module →