Deprecation on commercial vehicle

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Nevil (Querist)

29 April 2012 Dear Expert,

we purchase 2 truck for our firm in F.Y.2011-12

i want to know depreciation rate for that truck,,,,,it is 15% or 40% or 50%,,,,please explain,,,,

thanks in advance

CMA Nishad Patkar

CMA Nishad Patkar (Expert)

30 April 2012 Vehicles used in busiess for running them on hire or lease are charged @ 30%

CA Rakesh Goenka

CA Rakesh Goenka (Expert)

30 April 2012 I don,t agree with above expert ok it should be depreciated at a rate of 15% coz Assessee purchase Truck for its own business ok not for running them on hire,, so Depreciation rate here should be 15 %

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)

08 May 2012 I differ with both the expert as 40% depreciation is available if the trucks are not used for own business. If it is used for transportation of goods of others as a Public carrier then it is treated as heavy vehicle and accordingly 40% depreciation is allowed as per Income Tax Act

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