Struggling with Depreciation

Hello guys!

I need your help to understand how depreciation works.

I bought a laptop, tagged it as an asset and now, at the end of accounting period I want to apply depreciation.

If I am entering manual journal, debiting 0021 and crediting 0020 it gives no result to me. I still will get the same amount when I will run the balance report.

So, how depreciation works in Quickfile, should I debit 8001 and credit 0020? In this case it will reflect on P&L report and as I understand you do not claim depreciation as an expense. I am struggling with this so badly, I hope somebody could help.

Million thanks in advance.

That will be Journal

Dr 8004Office Equipment Depreciation
Cr 0031Office Equipment Depreciation

Depreciation not allowed for tax purpose but it would be shown in accounts, tax wise you get allowances instead

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