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Depreciation on Private limited

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Narendra Wod

36 Points Posted on 15 February 2024

Dear Export...

Good Evening !!!

Request you all kindly help me

For Private Limited Company which depreciation method is Used ??

1. Straight Line Method

2. Written Down Value Method

Replies (4)

Quick Summary

This discussion clarifies the depreciation methods applicable to Private Limited Companies. According to Schedule II of the Companies Act, 2013, companies have the flexibility to choose between the Straight Line Method (SLM) or the Written Down Value (WDV) method for calculating depreciation. Any changes in the chosen method require separate disclosure.

CA Rashmi Gandhi

Chartered Accountant

86505 Points Posted on 15 February 2024

Schedule II of the Companies Act, 2013 prescribes the determination of depreciation using the straight-line method (SLM), written down value (WDV). Therefore, companies can prefer either of the methods for calculating depreciation.