Sir i have come accross a situation where a motor car has been purchased for BUSINESS AND PROFESSION by a proprietor in january 2009. Can he claim deprecation at the rate of 50% or he will get the depreciation at 15%. Please also clarify the exact rules to get depreciation at 50%.
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Increased rate of depreciation on Motor Vehicles
Replies (5)
Thnx tinku..
But there is some dfrafting error .. So plz clarify it AGAIN..
Sry bt plz do that for me...
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New commercial vehicle which is acquired on or after the 1st day of April, 2001 but before the 1st day of April, 2002 and is put to use before the 1st day of April, 2002 for the purposes of business or profession |
50 |
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Commercial vehicle means heavy goods vehicle, heavy passenger motor vehicle, light motor vehicle, medium goods vehicle and medium passenger motor vehicle but does not include maxi-cab, motor-cab, tractor and road-roller. The expressions heavy goods vehicle, heavy passenger motor vehicle, light motor vehicle, medium goods vehicle, medium passenger motor vehicle, maxi-cab, motor-cab, tractor and road-roller shall have the meanings respectively assigned to them in section 2 of the Motor Vehicles Act, 1988 (59 of 1988). |
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Only in the above case you can claim depreciation @ 50% on motor car.
you can claim depriciation at the rate of 50% if you purchase and put to use on or after 1-01-09 but before 30-09-09 and only for the business purpose.important point is that it should be commercial vehicle not luxury cars
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