Can depreciation on an asset be more than its purch price??

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Querist : Anonymous

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Querist : Anonymous (Querist)
12 July 2017 Say a company is a power generation and distribution company set up in andhra pradesh (notified backward area) it purchases an windmill whose deprecition rate is 80%, being a manufacurer it will get an additional depreciation on 35%.So total depreciation would come upto 105%.Is it possible or is there any provision restricting the deprecition upto the cost of the asset?


12 July 2017 Depreciation can not be exceed the purchase cost and incidental Exps not more than the cost.

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Querist : Anonymous

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Querist : Anonymous (Querist)
12 July 2017 please mention relevant sections/case laws


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