Depreciation Rate as per Income Tax Act (Students)

This query is : Resolved

Pawan Patil

( Author )
19 March 2008

Respected Sir,

I want know Rate of depreciation as per
Income Tax Act

Plant & Machinery
Furniture & Fixture
Air Conditioner
Electric Installation
Motor Cycle
Office Equipment
Fax Machine
Water Cooler

Your immediate responce will be highly appreciated

With best regards,

Vilas Choudhari

Pandiri Ramu

( Expert )
19 March 2008

Plant & Machinery 15%
Furniture & Fixture 10%
Air Conditioner 10% (Furniture)
Electric Installation 15%
Motor Cycle 15%
Office Equipment 15%
Fax Machine 15% (Office Equipment)
Water Cooler 10% (Furniture)

Please look at Brackets which is taken under the head.

please let me know if you have any doughts,

Gayathri Devi

( Expert )
19 March 2008

P & M - 15%
F & F - 10%
A.C, Electric,office equipment,fax machine & water cooler at 10% because all are electrical firrings
Motor cycle at 15%
If the value of aset is less than Rs.5000 we can claim 100% depriciation as per sec.32 of income tax act,1956

CA. Amit Daga

( Expert )
19 March 2008

As Well as i want to add one more point in the gayathri note..if company feel any other amount except than Rs.5000 which is negligable amount.They can take that amount and provide depreciation at 100%.Its depend on the company size

CA. Amit Daga

( Expert )
19 March 2008

I mean to say more than Rs.5000 like to say VSNL Feel Rs.5 lacs is negligable for them and they will be satisfied to the auditore.Because there fixed assets costings are like 100 to 150 crores so they are negligible..So in the same year they can write off

Jitender Garg

( Expert )
19 March 2008

KAKA Amit Rs.5000 walw point is as per company act & Ques of Mr.Vilas is Depreciation rate as per Income Tax Act & depreciation is calculate on Block of assets.
This is Club Of CA's

CA Praveen Chopra

( Expert )
19 March 2008

Mr.Jitendra is correct

CA. Amit Daga

( Expert )
19 March 2008

Ya i agreed with them he is correct thats from companies act point of view.. i forget and thanks for reminding me and correcting me

shanti prakash

( Expert )
20 March 2008

i want to tell that electrical fitting is included in furniture and fitting only so depreciation on electrical instalation should be depreciated at 10%.
also i like the way ca amit had accepted his mistake,i really appreciate that.

Rakesh

( Expert )
24 March 2008

Plase take Ready racknor or Income Tax Act with Additionl deprecation Normal Rates are as under:
Plant & Machinery 15%
Furniture & Fixture 10%
Air Conditioner 10% (Furniture)
Electric Installation 15%
Motor Cycle 15%
Office Equipment 15%
Fax Machine 15% (Office Equipment)
Water Cooler 10% (Furniture)