Acquisition assets - need to show both historical and revalued depreciation expense in GL

 

My company acquired another company this past year.  As part of that acquisition, their assets were revalued (the value and the remaining useful lives) as of the acquisition date by a third party for GAAP reporting (CORP book) – many to less than their Net Book Value and many to $0 due to our Capitalization threshold rules.  However, our Compliance & Tax books are required to keep the assets at their historical value using their current depreciation rate/methodology – no changes to cost, depreciation method, life, etc - because we need to report the original depreciation to the gov’t for Tax purposes and only include this in our government rates.