DEPRECIATION ON DISPOSED OFF VEHICLES

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When a commercial vehicle is sold during the financial year, you can claim depreciation up to the date of sale. The remaining written-down value, after accounting for depreciation, is then transferred to your profit and loss account. This difference between the opening value and the sale value will be recognised as a gain or loss on the disposal of the asset.

lingam

lingam (Querist)

10 September 2025 Dear Sir/Madam,

If commercial vehicle sold during the year

1) Depreciation is claimble or difference amount (opening - sale vale) be transferred to profit & loss account
or
2) After depreciation balance amount be transferred to P&L account.

Thanks & Regards

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

10 September 2025 2) ........
When a commercial vehicle is sold during the year, depreciation on the asset can be claimed up to the date of sale, and then the remaining written down value after depreciation (the difference between opening value and sale value) is transferred to the profit & loss (P&L) account as a gain or loss on sale of asset.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

19 September 2025 Good Luck...

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