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DEPRECIATION on plant and machinery

Others 2668 views 3 replies

if grant is rceived in Import of plant and machinery then depreciation should be claimed on cost less grant .

also in the books we should reduce it from the cost of the machinery.

Replies (3)
hi in my opininon it should be reduced. tel me if u any other answer.
As per AS 12 grant should be reduced from assets value and depreciation calculated on this reduced value as per company law As per Income tax act u/s 43 cost of aquisition shiould be reduced to the extent of grant and depreciation as per IT to be calculated on this amount.
it depends on nature of grant


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