depreciation on a ship owned by a pvt.ltd co.

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kumar arumugam (Querist)
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27 October 2007 my company has purchased a newly built ship on 15.2.2007. what rate of depreciation to be applied for the period upto 15.2.2007 to 31.3.2007. wheter it is for the pro rata for the applicable days. if that so, on what percentage ?

sannagovindappa.G

sannagovindappa.G (Expert)
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28 October 2007 depriciation incase of this is on which percentage will caluclted on Momthly basis
EX- 35000*10%*1.5/12
LIKE THAT YOU WILL CALUCLATE DEP

CA Avinash Haldia

CA Avinash Haldia (Expert)
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28 October 2007 DEAR ARUMUGAM,

You have not mentioned whether you want this information for Income Tax purpose or for Company Law / Accounting purpose.

Rate of depreciation and calculation for both are different.

kumar arumugam

kumar arumugam (Querist)
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30 October 2007 thanks mr.sannagovindappa and mr.avinash haldia. the depreciation for accounting purpose is 5% SLM for 6pro rata days in my case and for IT purpose it is 25% for 6 months. thanks to CACLUBINDIA and its members.