Car depreciation ?

Tax queries 1511 views 13 replies

Hi,

 

I have a new car purchased in April, 2011  - now I want to sell this car and buy a new better one. I am currently in 30% tax bracket, Pls. tell how depriciation could be availed for maximum tax benefits with negiligible loss while selling the existing car.

 

Thanks

 

Replies (13)

Depreciation cannot be availed if the car is for personal use.

Originally posted by : Mihir

Depreciation cannot be availed if the car is for personal use.

Mihir is right, no depreciation available on car used for personal purpose.

agreeee with mihir

"Agree with to all above"

I am using the car for business purpose as I am a professional and car is being used for doing business.

if you are carrying on any business then only you can claim depreciation proportionately. by claiming it has been used for business.. otherwise you can't claim....  

Shaliniji

I hope u have only one car in the business.

Purchase price of the old car                    10 L

Less : sale price of the old car                 ( 8 L)

Add : purchase price of the new car         15 L

Closing WDV                                                17 L

Less : Depreciation on 17 L @ 15%         

Opening WDV

Note : The above calculation is applicable if you purchase new car before 31st march. 

thanks

https://taxbykk.blogspot.com/

Originally posted by : kaushal (taxbykk)

Shaliniji

I hope u have only one car in the business.

Purchase price of the old car                    10 L

Less : sale price of the old car                 ( 8 L)

Add : purchase price of the new car         15 L

Closing WDV                                                17 L

Less : Depreciation on 17 L @ 15%         

Opening WDV

Note : The above calculation is applicable if you purchase new car before 31st march. 

thanks

https://taxbykk.blogspot.com/

Thanks for having my query answered :)

Deprecation can be availed only when car is not used for personal purpose

Hi Sir I Have a hundai I20 Car what is percentage of Depreciation ? it is fully professional use

please let me know your feed back

 

As per income tax act 15% any brand car

Thank you so much for your right information sir.

 


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