suppose i have purchased a plant & machinery for100000. now how will i compute depreciation? what will be the amount of total depreciation???
amit
(st)
(111 Points)
Replied 11 January 2012
C.A. Sandeep Wawhal
(Chartered Accountant PGDFM BCom.)
(1823 Points)
Replied 11 January 2012
Depratiation as per I.T. Act is @ 15% on Plant & Machinery and If such Plant & Machinery Purchase After 6 months then depratiation should be calculated @ 7.5%
Provision of Additional Depreciation is applicable only for Manufacturing Company.
Max Payne
(employed)
(2569 Points)
Replied 11 January 2012
| Originally posted by : dushyant | ||
 |
suppose i have purchased a plant & machinery for100000. now how will i compute depreciation? what will be the amount of total depreciation??? |
 |
Normal depreciation @ 15% = 15000
+ addl depreciation @ 20% = 20000
Total = 35000
If asset has been put to use for less than 180 days,
Normal depreciation = 100000*15%*6/12 = 7500
+ Addl Depreciation = 100000*20%*6/12 = 10000
Total = 17500
Addl depreciation is only available wrt new P&M other than ships and aircraft,
only to P&M used in manufacturing business.
CA LOVELY ARORA
(C.A. B.Com (H) Graduate)
(2151 Points)
Replied 11 January 2012
agree with all.........
CAclubindia
