06 March 2009
Suppose A person was using the asset for his Business & Profession for last 4 years and now he has Sold the asset under hire purchase system to another person
Now in This case who will get the benefit of Depreciation u/s 32
Give me answer with Reason so That i can clarify it to my Client
06 March 2009
According to Sec.32,Other thing remaining unchanged, the Basic condition for claiming Depreciation is The Person should be owner of Asset, since in Hire Purchas System ownership is Transfer only after payment of Last Instalment so in your case Dep. can be claim by a person who using it since from 4 years till he get last instalment of Asset
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