07 December 2008
In a conversion of firm into a company all the conditions of section 45 are satisfied, then how to calculate depreciation? what will the WDV in the books of the company, i.e. after deduction pro rata depreciation or opening balance of firm?, Why not company can get the credit of advance tax paid by the firm? Because the advance tax is paid on the basis of whole years estimated income and because the conversion took place the tax is to be paid twice? Please give elaborated reply on this.
CAclubindia
