Depreciation Rate

Others 65866 views 92 replies

Respected All,

Can anyone tell me what is the rate of depreciation for Computer Software.

Thanks.

Replies (92)

Hi Nanju,


The Depreciation rates for computer software as per The Income Tax Act is 60% and as per the companies act 16.21% if the company is following Written down value method and 40% if the company is following Straight Line Method


 

60% as per I.Tax Act

Many companies are taking 40%

Income Tax Act - WDV Method - 60%

Companies Act - WDV - 40% & SLM - 16.21%

               

hi friends how r u

Rate as  per income tax is 60%

As per companies act 40% (wdv)

                                        16.21% (slm)

Hi dear

Priyanka, Satish & Ankit are right.

Deprecaiation on computer software as per the provisions of Income tax Act is 60% .

As per Companies Act ,

a) if WDV method follows :- 16.21%

b) if SLm method follows : 40%

My friends, I feel the rate of 40% and 16.21 % WDV and SLM as prescribed under the Cos. Act are for hardware and AS-26 Intangible Assets will prevail for amortization of software. As per the said standard any intangible asset has to be w/o within a period of max 10 yrs; as per para 65 of AS-26, the rate of amortization has to less than even 10 yrs considering the tech obsolescense.

Kindly give ur feedback.

 

But as per AS-26, we should follow only SLM method and not WDV.

is it?

 

hi,

 

i want knwo the 2008 fixed Assets Depriciation Rate for company purpose.

Best Regards,

Radha

60% as per it act, 1961

Hi

Will any one clarify me about the applicability of depreciation in Trade Mark (i.e intangible assets).

40% is the depreciation rate for Trade Mark.

ne1 can solve my query abt the current rate of depreciation on all assets plz send it on my email


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