Hi
As per IT act for depreciation purpose
180 days means
additions before 3rd october
additions on or after 3rd october
Or
Before sep or after sep
Which one is correct ?
Please clarify ?
Thanks in advance.
Vivek
(Finally passed CA Final...!!!!!)
(1097 Points)
Replied 11 May 2010
First one is correct (i.e: Oct 3)..... But not always..... In leap years it will become Oct 4... 
| Originally posted by : Vivek | ||
 |
First one is correct (i.e: Oct 3)..... But not always..... In leap years it will become Oct 4... |
 |
I agree with vivek.
Regards
K.Ilayaraja.
Ratheen Baxi
(CA Final group2 clear exempt in law)
(48 Points)
Replied 11 May 2010
i generally take it as on or before 30th Sept for full year and on or after 1st oct for half year. and i think that is how it should be considering 30th sept. to be end of 1st half of financial year.
Ratheen Baxi
(CA Final group2 clear exempt in law)
(48 Points)
Replied 11 May 2010
p.s. taking it as 30.09.will also take care of 180 days provision.
Kalpesh Chauhan,
(Tax Assistant (Accounting Technician CA FINAL CS PROF. PROG. B.Com))
(8310 Points)
Replied 11 May 2010
Parth - CA,CS,CMA
(Learner)
(406 Points)
Replied 12 May 2010
ireddy doddamani balappa ibrah
(Audit Manager)
(31 Points)
Replied 12 May 2010
180 days mens, from the date of purchases and not on whether the befor o0f after september
Doddamani CA FInal
balasundaram
(Manager (Accounts))
(73 Points)
Replied 12 May 2010
Law provides for 180 days... So 3rd October is the right, no second that
Hello friends,
Act says assets should be used atlease 180 days to claim full depreciation. So point is 180 days not sixmonths or half year.
If asset is put to use on or after 4th october then you end up in using asset less than 180 days.
If asset is put to use on or before 3rd october then you would have used it 180 days (incase 3rd september) or more in case before 3rd september.
In case of leap year even asset put to use on 4th october will be used for 180 days.
Pradip Narsingani
(Income Tax & GST Consultant/ CA-Final)
(572 Points)
Replied 12 May 2010
First one is correct (i.e: Oct 3)..... But not always..... In leap years it will become Oct 4...
Poornima Srinivasan
(Junior trainee)
(330 Points)
Replied 12 May 2010
| Originally posted by : Pradip Narsingani | ||
|
|
First one is correct (i.e: Oct 3)..... But not always..... In leap years it will become Oct 4... |
|
I agree wth Pradip...
Shibin Raj.T.V.
(CA Final)
(86 Points)
Replied 12 May 2010
Dear Vasanth,
The concept of 180 days is important for the purpose of Depreciation Calculation.
- If a new asset is bought and put use for less than 180 days in a financial year (ie., acquisition on or after Oct1) , only half the rate of actual depreciation, you can charge.
- If a new asset is bought and put use for more than 180 days in a financial year (ie., acquisition before Oct1), full rate of Depreciation you can charge.
- The applicability of the date '3rd October' will come in the case of Leap Year.
But, usually this date is considered that much important only in the exam point of view.
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