Weather computer hard drive is an asset?

Weather computer hard drive(disk) is an asset or it is to be expense out in books? If it is an asset then what is rate of depreciation for the same under income tax act.
Replies (7)
Quick Summary
Computer hard drive is generally treated as a fixed asset under computers and depreciated at applicable rate (about 60 percent under income tax). If it is a replacement or minor repair, it may be treated as revenue expense depending on improvement or usage impact.

It is an asset and depreciation rate will be 60%

yes this is a improvment of assesst and it include in assessts and depreciation will be charged in assets depreciation percent.

 

If you are buying new harddisk in addition to your harddisk in computer, it is an asset. Capitalise it as Computers.

If you are buying Harddisk as replacement of your existing Harddisk then expense it and charge it to computer maintainance account.

I agree with Chandra

If I m buying new hard disk in addition to existing hd & the cost is less than Rs. 5000 then is it capital expenditure..??
Yes it is , irrespective of the amt incurred on it..

Even when you are replacing the asset, it should be noted that- if the new hard drive results in increases the standard performance of the computer than the existing one. Whether the technology used in making the new hard-drive is different/ new leading to better performance. If yes, then should be capitalised.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
05 October 2026
Senior Accountant

Vision IT Peripherals Pvt Ltd

Mumbai

B.Com

View Details
Company
Featured 21 September 2026
Consultant - Reporting

Finrep Advisors LLP

Mumbai

CA

View Details
Company
18 September 2026
Accounts & Finance Specialist

ULTRA CHEMICAL WORKS

Thane

CA Final

View Details
Company
ARTICLESHIP 28 September 2026
Junior Accountant

J S P M & Associates LLP

Pune

B.Com

View Details
Company
ARTICLESHIP 07 October 2026
Article assistant

S.K.Bajpai & Co.

Noida

B.Com

View Details
Company
ARTICLESHIP 07 October 2026
Article Assistant

Malhotra Rajesh & Associates

New Delhi

B.Com

View Details
Company
08 October 2026
Accounts and Tax Associate

POOJA R TELI & CO

Pune

CA Inter

View Details
Company
22 September 2026
Account Assistant

Chirag P Shah & Co. Chartered Accountant

Pune

B.Com

View Details