26 May 2010
should depn b claimed by a pvt. ltd. co. which is a member of STPI ??????? SHOULD IT CLAIM DEPN. AS PER CO. ACT IN THE BUKS OF A/CS AND CLAIM DEPN. AS PER IT ACT WHILE FILING RETURN OF I.T. MAKING ADJUSTMENTS FOR DEPN. PROVIDED AS PER CO. ACT???????????????????
26 May 2010
As per both Companies act and Income Tax act, claiming of depreciation is mandatory. There is no option given to the assessee. Hence every person has to claim depreciation as per the accounting policy adopted by the company in books of account and as per income tax rates as for determining profit / loss as per Income tax. The profit so arrived at can be claimed as exemption since it is a STPI unit. The impact will come on computing deferred tax. Refer Accounting Standard Interpretation 5 for implications on Deferred tax.. If any other information is required, u can ask..
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