Create a Lot Level Amortization Rule Override

In the Create Lot Level Amortization Rule Override panel, you can process a transaction that applies an amortization rule directly to a tax lot, thereby overriding the amortization rule applied to the lot at a higher level. Eagle Accounting can define amortization and accretion treatment for a tax lot within a position for Identified Cost portfolios.

To create a lot level amortization rule override:

1. Do one of the following:
   - In Portfolio Data Center, in the left navigation pane, click Portfolio Desk > Accounting Portfolio Rules > Amortization & Accretion > Create Lot Level Amortization Rule Override.
   - In Accounting Center, in the left navigation pane, click Setup > Portfolio Rules > Amortization & Accretion > Create Lot Level Amortization Rule Override.
   You see the Create Lot Level Amortization Rule Override panel.

2. In the Entity Details and Issue Details sections, identify the entity/basis and security for the yield you want to override.
   You must select an entity with a Cost Method set to Identified.

3. Click the Open Event ID field and select the lot with an amortization rule you want to override.
   The lookup shows available tax lots for the selected entity/security combination.

4. Click the Override Rule ID field and select appropriate amortization rule to apply to the tax lot.

5. Click Submit.

After you submit the Lot Level Amortization Override transaction, Eagle Accounting populates the Primary Amortization Accretion Rule (tag 4622) in the Cost object with the instance of the amortization rule that you specified in the Lot Level Amortization Rule Override transaction. Eagle Accounting then uses the amortization rule defined in tag 4622 for all future earnings processes. If tag 4622 is Null or has a 0 value, Eagle Accounting accretes or amortizes the tax lots based on the amortization rule established at the Accounting Basis level.