Depreciation charge

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Querist : Anonymous

Querist : Anonymous (Querist)

03 June 2011 Dear all my friends i am working in a bank.wheni saw various companies financial statements at that time there were change in charge depreciation.on which basis depreciation charged.Any change in charge depreciation on company's assets and as per I.T rules.

plz guide me

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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05 June 2011 Your observation may be correct as in the financial statements of corporate assessees depreciation is charged on the basis of rates prscribed under The Companies Act , whereas in computation of income for IT Purpose rates prescribed under the Income Tax Act are taken.

Querist : Anonymous

Querist : Anonymous (Querist)

10 June 2011 so both the depreciation rates are different?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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11 June 2011 Yes Rates of Depreciation under both the Acts are different.

Querist : Anonymous

Querist : Anonymous (Querist)

18 June 2011 thank you sir

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