dep rate

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Querist : Anonymous (Querist)

16 March 2010 what is the depreciation rate for tractor

CA Ravi Sisodia

CA Ravi Sisodia (Expert)
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16 March 2010 Normal rate - 25 %

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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16 March 2010 As per my understanding, there is no rate as 25% ,in appendix-1,except for intangible assets, read along with rule 5 of Income tax rules,1962 from assessment year 2006-07 onwards. However, tractor is not a commercial vehicle vide note 6 of the said appendix and hence not eligible for higher rate of depreciation. So depreciation can be claimed at 15% by classifying tractor either in clause 111(1),viz., machinery and plant, or in clause 111(2),viz., motor cars, of appendix-1.

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CA SANJAY MUKHERJEE

CA SANJAY MUKHERJEE (Expert)
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16 March 2010 Under Companies Act 30% on WDV ( single shift),

As per Income Tax Act I think dep. rate of tractor would be 15% as applicable for motor car.