If a company purchases "Electronic Items", can that be capitalised with Plant and Machinery. If no, then under what it should be capitalised and what is the rate of depreciation under Comapnies and Income Tax Act?
Thanks in advance....
Menu
Fixed Assets
Replies (4)
It should be capitalised and showed under the head "Electrical Fittings". Plz refer pg no. 77 of Director tax ready recknor by Dr. V.K.Singhania. As per explanation given in point no. 5 Electrical Fittings includes electrical wiring,switches, sockets, other Fittings and Fans etc. Hence should be capitalised under Electric Fittings. The depreciation rate is 10% under income tax Act and 4.75% under the companies Act.
Best Regards,
Ratan
| Originally posted by :Ratan Deep Saxena | ||
| " | It should be capitalised and showed under the head "Electrical Fittings". Plz refer pg no. 77 of Director tax ready recknor by Dr. V.K.Singhania. As per explanation given in point no. 5 Electrical Fittings includes electrical wiring,switches, sockets, other Fittings and Fans etc. Hence should be capitalised under Electric Fittings. The depreciation rate is 10% under income tax Act and 4.75% under the companies Act. Best Regards, Ratan |
" |
Mr Saxena you are wrong because elctrical items will be grouped under Office Equipments and the applicable Dep Rate is 15%.
I was worried about missing the deadline for my essay, but then I found a student paper service that could help. They were able to take on the task and complete it on samedayessay time, and the quality of work was amazing. I'm so glad I found their services.
Recent Topic
- Clarification Needed: Reporting Accrued vs Paid FD
- TDS on prize given to participants in Livestock sh
- TDS related matter - 194 IA
- Research: How do CA firms handle GSTR-2B reconcili
- CA FINAL FR IndAS 33 Illustrtion 14
- Taxation on Sale of old Jewellery Received at Marr
- ITR-3 Filling issues
- PF withdrawal and tax liability
- Sale of Goods or Services?
- ITR form query
Related Topics
CAclubindia
