Sales/discard of fixed assets

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

15 October 2013 If I wish to sales the fixed assets which was exciseible whenever purchases in earlier years.
Purchases Price Rs. 100000/- ( Inc cst & Exc. Excise)
Intrest & Project development Exp. Rs. 10000/-
Total Price for Assets Creation Rs. 110000/- in assets register.

If after 3 years we are planning to sale out then My question is at which price we should charge the excise to sales out:-

Option = Either on WDV. shown in assets register.
option II- or WDV. Calculate bases on Purchases Price i.e. before adding int & PDC Ch.

Pls guide

CA Parul Saxena

CA Parul Saxena (Expert)
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15 October 2013 Excise duty can not be charged on sale of fixed assets as you did not manufacture fixed asset and excise duty is applicable on manufacture only.