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Reclassify a Fixed Asset as Expense in NetSuite

In NetSuite Fixed Assets Management (FAM), a fixed asset was set up and depreciation was run for two months. After an audit review, it was determined that the purchase should have been expensed directly instead of capitalized. To correct this, the depreciation journal was reversed, the asset was marked as inactive, Depreciation = False, and Include in Reports = False. However, the asset register still displays the asset with acquisition and depreciation values.

What is the correct process to fully expense the item so that:

  • It no longer appears in the asset register
  • Cost and accumulated depreciation are removed from the relevant accounts on the balance sheet

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