to provide dep, an asset must be a depreciable assest, while providing depreciation also see the compliance of accounting standard 6 and while preparing financial statemtns of companies minimum rates of depreciation speceied in schedule xiv of companies act,1956.and for income tax purposes the rates specified in income tax act
25 May 2008
Please note that the rates provided under schedule XIV is minimum depreciation. If your assets depreciates faster than that rate, the accelerated rate should be provided for. But irrespective of what you provide in your books, depreciation is allowed only in block basis at the specified rates under IT Act.
CAclubindia
