TRANSITIONAL REGIME FOR THE DEPRECIATION AND AMORTIZATION OF ASSETS
A transitional regime was established in connection with the outstanding depreciation balances
As a general rule, outstanding balances to be amortized will continue to be amortized using the straight line method for a term of not less than 5 years, unless it is determined that due to the nature or duration of the business, the amortization shall be made during a shorter period.
In relation with the depreciation, it was established that outstanding balances to be depreciated until December 31, 2016, will be depreciated during the remaining fiscal useful life of the asset, taking into account the applicable statutory useful life (20 years for real estate, 10 years for movable assets and other equipment and 5 years for motor vehicles and computers). This can be used for straight-line systems, declining balances or other depreciation methods of recognized technical value and duly authorized.
Finally, transitional regimes were established for the amortization of goodwill and intangibles associated with concession contracts.
This treatment was regulated in Article 290 of Law 1819 of 2016.