Depreciation

This discussion clarifies whether depreciation can be claimed on fixed assets purchased with cash, specifically for amounts up to Rs. 10,000. It confirms that such purchases are eligible for depreciation. However, it also highlights that while the asset itself is claimable, the cash expense exceeding Rs. 10,000 might be disallowed. Additionally, if Input Tax Credit (ITC) for GST is claimed, depreciation is only applicable to the asset's cost excluding the GST amount.