How a limited company reports its fixed asset?
For tax reporting purposes, it depends on how large the company is and how it is taxed. If it is taxed as a Partnership or S-Corporation – below a certain level (don’t recall the dollar figure off the top of my head), the company is not required to fill out Shedule L (typically page 4 of the return – the top of which is a balance sheet and it reflects the fixed assets and accumulated depreciation as totals), but it MAY CHOOSE to fill it out and report it anyway. Many tax preparers tend to not fill it out if they don’t have to as it eliminates a lot of work on their part. If the company is taxed as a proprietorship then the fixed assets will never show on the return, except as a subschedule that details the depreciation expense on Schedule C.
