Save Rs 588 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

depriciation

Save Share

Join Us Follow Us Add as Source

This query is : Resolved

Report Follow Query Ask a Query

Querist : Anonymous

Querist : Anonymous (Querist)

19 June 2011 in case we are managing limited & pvt limited company's book of accounts. so can we consider depriciation in our company's book of account as per income tax act rule instead of company act 1956. if i pass the entry of debriciation in books of account as per income tax act can be wrong yes or not give me reason

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
Follow

19 June 2011 1. You are required to maintain books of accounts according to the requirement of Companies Act. Companies Act has prescribed rates of Depreciation and these are to be followed while maintaining Books of Account.
*
2. Income Tax Act does not require that you should provide Depreciation in the Books. Even if you do not provide Depreciation, in Computation it will be taken into account.
*

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