I would like to know whether depreciation can be skipped during the period when there is no production due to situation beyond management control.
Further can depreciation be capitalised on assets which were originally capitalised and used for production activities but since production is stopped used in R&D of new products.
Menu
Depreciation charge when production is stopped
Replies (1)
As per AS-6 Depreciation acoc*nting depreciation means decrease in the value of assets due to its use, effluxion, passage of time. So even if production is stopped, tehre is passage of time so depreciation needs to be charged. Once the assets are being installed in the factory then dpereciation shud be charged irrespective of there is any production or not.
Recent Threads
- Utilizing Capital gains in new home construction
- Hi i have some doubt about my microsoft exam?
- Period of holding of residential flat and its acqu
- ITRs for AY 2025-26 filed in September 2025 not pr
- Heard & Seen Around – Your Daily Economi
- Best NISM course for an Accountant
- Calculate IT on LTCG AND STCG for the FY 2025-26
- Heard and Seen Around - Your Daily Economic Quick
- Returning to India - Residency confusion
- About CMP-08
Related Threads
CAclubindia
