Legal analysis: the loss of fixed assets disposal can be deducted before tax. In the normal operation and management activities, enterprises should declare to the tax authorities in the form of list declaration to deduct the losses from the sale, transfer and fair value sale of fixed assets. If an enterprise can't accurately judge whether it belongs to the asset loss deducted from the list, it can declare the deduction in the form of special declaration. Asset losses incurred by an enterprise shall be reported to the competent tax authorities in accordance with the prescribed procedures and requirements, and then deducted before tax. Undeclared losses shall not be deducted before tax.

Legal basis: Article 9 of the Administrative Measures for Pre-tax Deduction of Income Tax on Enterprise Asset Losses shall be declared and deducted to the tax authorities in the form of list declaration:

(1) Losses from selling, transferring or selling off non-monetary assets at fair prices in the normal operation and management activities of the enterprise;

(two) the normal loss of enterprise inventory;

(three) the loss of fixed assets that the enterprise has reached or exceeded its service life and is normally scrapped and cleaned up;

(four) the loss of assets caused by normal death when the productive biological assets of the enterprise reach or exceed the service life;

(5) Losses incurred by enterprises in buying and selling bonds, stocks, futures, funds and financial derivatives through various trading places and markets in accordance with the principle of fair market transactions.