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

Fixed Assets_Conversion of LLP into Private Limited Company

Save Share

This query is : Resolved

hiren parikh (Querist)
Follow

26 December 2019 We are planning to convert our LLP into the Private Limited Company. Right now, in LLP, we are applying the Depreciation method as per Income Tax Act. Hence, at the block of asset level, we have the WDV. We do not have the asset wise value like Purchase cost and WDV.

How to treat the same while we convert the LLP into Private Limited company because as per the Companies Act, we need to follow the useful life method ?

Can anybody help in this matter?

Aashok Kumar Sharma online

Aashok Kumar Sharma

(Expert)
Follow

22 May 2020 You can go through the Company Act Depreciation Chart where for each category of Asset there is an estimated useful life mentioned. You have to divide the cost of the assets with the useful life of the asset as mentioned.

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