Depreciation Allowance u/s 32(1)

Asset was acquired on 01/03/2019 i.e. in P.Y. 2018-19 amounting to ₹ 1,00,000/-. Such asset was "Put To Use" on 15/10/2019 i.e. in P.Y. 2019-20. Depreciation Rate is 15% and also eligible for Additional Depreciation u/s 32(1)(iia). So, what would be the Depreciation Allowance for the P.Y. 2018-19 & 2019-20 ?

Thank You.
Replies (2)
Quick Summary
This discussion clarifies the calculation of Depreciation Allowance under Section 32(1) for an asset acquired in FY 2018-19 but put to use in FY 2019-20. The consensus is that no depreciation can be claimed in FY 2018-19 as the asset was not in use. For FY 2019-20, the full depreciation rate applies, as the asset was put to use for more than 182 days within that financial year, negating the 50% reduction proviso.

In my opinion, for 18-19, you can't claim any depreciation since the same was not put to use. for 19-20, you can claim 17.5% depreciation (7.5% regular depreciation and 10% additional depreciation (since asset was put to use less than 182 days)). however let's wait for experts opinion
Dear Rama Krishnan,

In my opinion as per Second Proviso to Section 32(1), it is mentioned that there will be deduction @ 50% if :-
(a) The Asset is acquired during the PY
AND
(b) The Asset is put to use less than 180 days in "THAT PY".

So I guess ..
(i) In PY 2018-19 there will be no deduction of depreciation as asset is not put to use.
(ii) In PY 2019-20 there will be FULL deduction of depreciation allowance because BOTH the above conditions are NOT satisfied.

So I was having a doubt that is this interpretation correct or not.

Thank You.

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