rate of depreciation on intangible assets as per CO's act

Save Share

This query is : Resolved

shobhika (Querist)
Follow

13 November 2009 I want to know the rate of depreciation charged on intangible assets by both wdv and slm methods as per COMPANIES ACT 1956.mainly for COMPUTER SOFTWARES and TECHNICAL KNOW HOW.
I have already reffered to AS-6 and AS-26 but rates are not mentioned there.
please help...!!
I will be very thankful...

RAJESH SHUKLA

RAJESH SHUKLA (Expert)
Follow

16 November 2009 please read current year recocker of income tax page no. 72. hope u will find the same as u want.

shobhika

shobhika (Querist)
Follow

16 November 2009 thank u for answering sir ... i read the current year reconer page 72 but i didnt find the answer of my query.... please help further sir...
sir that page refers to rate of depreciation as per income tax act.... i want for companies act....

CA Chandra Kishore Bajpai

CA Chandra Kishore Bajpai (Expert)
Follow

26 November 2009 Data processing Machine including computers
SLM--->16.21%
WDV---> 40%

shobhika

shobhika (Querist)
Follow

27 November 2009 Dear sir Data processing machine means a machine like computer server it is a tangible asse but i m asking for intangible asset. software is used to program data processing machines....
that software is intangible. i want to knw abt that. not the machinery.

Aditya Maheshwari

Aditya Maheshwari (Expert)
Follow

27 November 2009 Software is an intangible asset and for depreciation on the same you will have to refer AS - 26 on intangible assets and the same should ideally be written off over a period of 5 years but not more than 10 years as per the standard

shobhika

shobhika (Querist)
Follow

27 November 2009 thank u sir....

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