Depreciation applicabilty??

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Abhishek Kumar (Querist)

07 May 2014 Dear Experts,
I have purchased a Laptop worth Rs 50,000 in CASH in the name of the Firm..Can i claim depreciation of such Assets..???

Pls Suggest !!!

Regards

Sandeep Dharar

Sandeep Dharar (Expert)

07 May 2014 Abhishek first note that if u made expense in cash more than Rs. 20000/- then the whole amount will b disallowed and added back to ur income.

And secondly if u purchase it in firm name then the firm can claim depreciation n not u.

CA Parul Saxena

CA Parul Saxena (Expert)

07 May 2014 If expenditure is incurred in cash for more than 20000 then there would be disallowance but this section is applicable only to 'Revenue Expenditure'.
As you have purchased Laptop show it under Asset head hence no question of disallowance and you can claim depreciation also.

Sandeep Dharar

Sandeep Dharar (Expert)

07 May 2014 Parul please note that the asset is purchased in the name of Firm. Then can he claim it individually?

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