Depreciation of assets purchased on loan (credit card)

Dear experts, I would like to know how the following should be categorized for individuals (software consultants) e-filing the ITR-4.
Can these be written down on the Schedule of depreciation?

 

Scenario 1:
Assets (like computers) purchased on EMI through credit card.

 

Scenario 2:
Assets (like computers) purchased in cash (cash appearing on the bills, but funds (cash) sourced from personal-loan (EMI) by the virtue of credit card)!

 

Also, how do we go about loans with tenure encompassing two financial years?

 

Please advise. Thanks.

Replies (3)

Any input? Anyone?

In my view, Depreciation has to be charged as per the provisions of Sec 32 either paid cash or credit card. If personal credit card loan, then record it has loan to company and claim interest has expenses. .

on accepting the invoice for cap[ital goods, you have either made it paid cash/ chedque/ credit card or EMI, or installments to supplier itself, but it does not have any impact on goods value, interest paid ( if any) can be shown seperate in P/L but the depriciation rate would be same. Irrespective of the factpr that its fully paid or not.

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