03 April 2012
Company has installed a Lift for his office building purpose, under which head lift is classified? and the rate of Depreciation under companies act 1956? can any one guide me.
One Day Agot Mr. C.A G Surnarayan had told that same is to be consider as Plant & MAchinery instead of office building , so still there is a consusion?
The lift forms part of the building itself. Further, it can not be removed without demolishing the building after installation The useful life of the asset is same as that of building, hence the depreciaton rate will be same of building.
03 April 2012
No, it is not possible to classify it under plant & Machinery. Since it is not separable from the building, it need be depreciated @ of building.
CAclubindia
