Depreciation on closed business

Save Share

This query is : Resolved

Quick Summary

When a business closes, you still need to calculate depreciation on its fixed assets and trademarks. The depreciation should be calculated using the standard rates applicable to the asset category. This calculation should continue up to the date the business ceased operations or the date the assets were last used for business purposes, whichever comes first.

Daya

Daya (Querist)
Follow

24 September 2023 How to calculate depreciation on closed business.
on Fixed assets and Trademarks.

RAJA P M

RAJA P M (Expert)
Follow

25 September 2023 No more specific rates. Depreciate on the date of ending.

Aashok Kumar Sharma online

Aashok Kumar Sharma

(Expert)
Follow

21 January 2024 Just wanted to add that depreciation needs to be calculated as per the rates specified for the category of Assets till the date of the end of operations of the company or till the date which have been used these assets for business operations whichever is earlier.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now