Dear Friends...
Please Help...
A company has bought an office premises in a buillding in Co-Operative Society & has charged depreciation as per Income Tax Act. on total cost of the Office Premises.
Department is of the view that depreciation on Land is not permissible & Cost of the Land in Mumbai is very high. Therfore, separate the value of the land as per stamp duty registration value & depreciation is allowable only on remaining cost. of the office premises.
Is the treatment done by the Company Correct ?
or
Any other View ??
Thanks