Depriciation

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

19 December 2014 I had Purchase New Car and Dealer had issue bill me mention Car Value 3300000/- + Insurance -85000/- Total Bill Value 3385000/-. Now I Want to take a Depreciation. On which amount i take Depreciation 3300000/- or 3385000/-

Please advise me

Amol S Joglekar

Amol S Joglekar (Expert)
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19 December 2014 You can claim the depreciation on 33,85,000

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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19 December 2014 Charge depreciation on 33,00,000 and charge entire insurance 85,000 to revenue as insurance is for one year.

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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19 December 2014 when insurance is paid on purchase of car then it has to be included in value of motor car and accordingly charge depreciation on total amount and when subsequent year when renewal or new insurance policy is taken then it is taken to pnl