Depreciation on assets
This query is : Resolved
01 April 2019
What is the value of an asset as per the income tax act below which the asset can be written off as a zero value asset in the balance sheet of the following year (e.g. assets below Rs. 5,000/-) ? Regards
01 April 2019
There is no section in Income Tax Act,1961 to write off the fixed assets < Rs.5,000/-. However, the provision of Rs.5,000/- was in the Companies Act, 1956 which is also not in force now.
Message likes :
1 times
01 April 2019
@ Mr B Chackrapani Warrier Sir...
Then when it will consider as 0 value...
Please give Your valuable reply to the above...
Message likes :
1 times
05 April 2019
Thank you Warrier Sir for your reply. Repeating the question of Mr. Raja P M, how and when shall I write down an asset as a "zero value" asset and under which Act / accounting principle ? Please reply.
07 April 2019
There is no accounting principle and Act as regarding the motive to show the asset at a desired value specifically when historical cost concept is being adopted in maintaining books of account.
If the asset is really of no worth to the business it can be shown at 0 value by debiting the cost to the Capital.
Accounting Standard - 28 Impairment Of Assets may be referred for enriching the knowledge.
If the asset is really of no worth to the business it can be shown at 0 value by debiting the cost to the Capital.
Accounting Standard - 28 Impairment Of Assets may be referred for enriching the knowledge.
Message likes :
1 times
08 May 2019
Thank you Bafna Sir.
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
- Refund Annexure-B
- Liable to deduct tds and 44ADA
- Sale of Equity shares for Purchase of Residential Property
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- ECO SUPPLY REPORTIONG IN GSTR-1
- Is Interest applicable for payment made through credit ledger vide DRC03 for FY 2020-21 & 2021-22
- CCFS 2026 Schemed
- Subscription paid to foreign customer
- Two seprate Invoice needed
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
