Capital gain
This query is : Resolved
11 December 2012
sir,
if a company gets deduction of 100% on fixed asset in first year, then whenever he sold the asset at whatever price what is implication on tax ? plz suggest.......
if a company gets deduction of 100% on fixed asset in first year, then whenever he sold the asset at whatever price what is implication on tax ? plz suggest.......
11 December 2012
Hi,
If you are referring to the depreciable fixed assets and 100% rate of depreciation
Then pls note that Block concept comes into the picture. WDV of the block (in which the asset in question falls under) becomes the cost of acquisition if Sale proceeds exceeds the WDV of the Block. This would be charged as STCG/STCL
If the asset is the only asset in the block, that means WDV would be NIL. Hence net sale proceeds would be charged as STCG
Hope it resolves!
If you are referring to the depreciable fixed assets and 100% rate of depreciation
Then pls note that Block concept comes into the picture. WDV of the block (in which the asset in question falls under) becomes the cost of acquisition if Sale proceeds exceeds the WDV of the Block. This would be charged as STCG/STCL
If the asset is the only asset in the block, that means WDV would be NIL. Hence net sale proceeds would be charged as STCG
Hope it resolves!
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GST Regis.
- Tax on capital gains revoked us 54f
- Inventory of finished goods
- Sale of property furniture sale
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- Filing of Form 10BB instead of Filing Form 10B
- Clarification on Documentation of Paid-Up Capital Contribution by Directors
- Should I include march foreign salary received in April in my income for FY 2023-24?
- Applicability of Ind As to associate of associate
- Confusion around Form 26QB fields
- GST Registration Cancellation books of accounts asked by officer
- TDS Deduction Online Learing Platform
- Point (III) 9 of GSTR-9C
- As per our records, find the below outstanding demand(s)* and interest payable u/s 220(2):
- Regarding transaction th. credit card
- MIS MATCH OF INVOICE NUMBER
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
Trending Online Classes
CAclubindia
