Intangible assets that increase in the current month are amortized in the same month, and intangible assets that decrease in the current month stop amortizing in the same month.

The amortization method of intangible assets selected by the enterprise should be able to reflect the expected consumption pattern of the economic benefits related to the intangible asset. These methods include straight-line method, yield method, etc. If the expected consumption pattern cannot be reliably determined, the straight-line method should be used for amortization.

Intangible assets refer to non-monetary long-term assets without physical form held by enterprises for the purpose of producing products, providing services, leasing or operating and managing, including patent rights, trademark rights, copyrights, and land use rights. , non-patented technology, goodwill, etc. Software purchased by enterprises and institutions that meets the conditions for recognition of fixed assets or intangible assets can be accounted for as fixed assets or intangible assets. Upon approval by the competent tax authorities, the depreciation or amortization period can be appropriately shortened to a minimum of 2 years. Therefore, after approval by the competent tax authority, the amortization period of the enterprise can be 2 years.

Legal Basis

"Regulations on the Implementation of the Enterprise Income Tax Law of the People's Republic of China"

Article 37: Enterprises that occur during production and business activities Reasonable borrowing costs that do not require capitalization are allowed to be deducted. If an enterprise borrows money for the purchase and construction of fixed assets, intangible assets, and inventories that require more than 12 months of construction to reach the intended salable state, the reasonable borrowing costs incurred during the purchase and construction period of the relevant assets shall be calculated as capital expenditures. The cost of the relevant assets shall be recorded and deducted in accordance with the provisions of these Regulations. Article 56 All assets of an enterprise, including fixed assets, biological assets, intangible assets, long-term deferred expenses, investment assets, inventories, etc., shall be taxed based on historical cost. The historical cost mentioned in the preceding paragraph refers to the actual expenditure incurred by the enterprise when acquiring the asset. If an enterprise appreciates or depreciates assets during the period in which it holds each asset, the tax base of the asset shall not be adjusted unless the financial and tax authorities of the State Council stipulate that profits and losses can be recognized. Article 66 The tax base of intangible assets shall be determined according to the following method:

(1) For outsourced intangible assets, the purchase price and relevant taxes paid and the direct attribution of the assets to the intended use shall be determined. Other expenditures incurred shall be the tax basis;

(2) For self-developed intangible assets, the tax basis shall be the expenditures incurred after the asset meets the capitalization conditions during the development process and before it reaches its intended use;

(3) For intangible assets acquired through donations, investments, non-monetary asset exchanges, debt restructuring, etc., the tax calculation base is based on the fair value of the asset and the relevant taxes paid.