Depreciation cal.
This query is : Resolved
30 December 2011
Dear Sir...
I have a query regarding Depreciation calculation , when an Assesse purchased an WDV Machinery used by previous Assess e, for 9 years , suppose its life span of machinery is 10 years , can the assess e use the WDV machinery for more than 10 years and claim depreciation as the sec 32 of IT act 1961,
I have a query regarding Depreciation calculation , when an Assesse purchased an WDV Machinery used by previous Assess e, for 9 years , suppose its life span of machinery is 10 years , can the assess e use the WDV machinery for more than 10 years and claim depreciation as the sec 32 of IT act 1961,
CA PARAS BAFNA
(Expert)
30 December 2011
You are talking about straight line method
perhaps.
.
Depreciation claimed for the purpose of
Income Tax may be different then the amount of Depreciation written off in the books. In case , as per Income Tax you can claim depreciation .....on the WDV as per Income Tax Act.
.
If after 9 years WDV of Machinery is 1000. It has been sold by X to Y for Rs. 5000. Y can claim depreciation on Rs. 5000/.
( X can claim depreciation on Rs 1000/ if he repurchases the Machine from Y for Rs. 7500/-)
perhaps.
.
Depreciation claimed for the purpose of
Income Tax may be different then the amount of Depreciation written off in the books. In case , as per Income Tax you can claim depreciation .....on the WDV as per Income Tax Act.
.
If after 9 years WDV of Machinery is 1000. It has been sold by X to Y for Rs. 5000. Y can claim depreciation on Rs. 5000/.
( X can claim depreciation on Rs 1000/ if he repurchases the Machine from Y for Rs. 7500/-)
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Visiting card purchase
- GST on reimbursement of expenses
- Due date for filing return for the partner in partnership subjected to Tax Audit
- Query on effect of registration of property
- Goodwill transfer of deceased father’s firm – ICAI applying a 27.04.2026 cut-off to the 3 year limit
- Additional trade name
- Equity Share Sale and Purchase
- Number of years as per AS amortisation of Goodwill
- Whether output tax is taken credit by purchaser
- Wrong CMPo8 file
- Classification of income of P Ltd company as business or profession
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- "Please ensure that the Total of the Deductions u/s 54F match the same in Table D in Sch CG"
- Need to correct "Whether it is last installment " response in Form 26 QB
- " Income from House Property " in joint names of co-owners
- REGARDING TDS RETURN OF FORM 27Q
- Notice under e-Verification Scheme
- GST demand notice for ITC reversal against exempted supply.
- RCM ON SECURITY CHARGES FROM INDIVIDUALS
- How to get money back from delisted company
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
