Mansi devani (CA) 05 September 2019
I have appointed as auditor during this year of a private ltd company. In books of account of company, depreciation has been calculated as rate specified in Income Tax act,1961 even though its company. Moreover, Previous year audit report also made on income tax rate depreciation.
Now, my concern is. How can I claim depreciation as per company's act from nowonwards.
example- If I tried to depreciation as per company's act on building---- remaining life of useful life- how many years I calculated? bcoz if I taken remaining life 30, depreciation is as much high as actual. if I took 23 years, Then Actual depreciation is not comparable with previous years of depreciation and time of discard of assets, how can i calculate depreciation?
Please help e how can I solve this problem.