hello friends,
I had a personal question in taxation. Actually i want to buy a motor bike. and i wanted to know that if I buy it in EMI ie: in instalments i pay interest. My question is what are the benefits I get if i am a salaried employee ( ie:regarding depreciation and interest factor) any other benefits ... please tell me
Thanks in advance
unless the motor vehicle ( motor cycle) is used for business purpose, no benefit is available for depriciation or interest paid / EMI
it would be personal effect for salaried person,
hi sir,
AFTER DISCUSSION FOR SECTION 44AD, WE MEET AGAIN HERE,
ok if u want to take benifit Rise Dummy income like DIAMOND BROKERAGE INCOME OR COMMISSION INCOME
here depreciation is a non cash expenditure adjust your income till tax slab at throw this business in loss.
Actually assessee is in profit but due to depreciation effect it seen in loss. I HOPE SIR U UNDERSTAND.
I M VERY INTERESTED TO TALK WITH U. REPLY ME SIR ON hi_4_me_nxt @ yahoo.co.in
NO BENEFIT OF DEPRICIATION IS GIVEN TO A SALARIED EMPLOYEE
Salary income is calculated as per provisions of Section 15 to 17. Section 16 provides the dedcutions that are available while calculating salary income.
Section 16(ii): Entertainment allowance
Section 16(iii): Professional tax
So the interest and depreciation will not be considered, accordingly you will not get any deduction from salary income.
@ Hardik Bunha... ur suggestion is good but i feel dat its mor risky if u compare wid some othr method... if d employee is in full-time employment then its very difficult to digest for ITO authority that there is any business income & wil create prblm in Scrutiny...
bettr is to show 80G deduction...... I hope u gt my point...
CAclubindia
