Dep. as per co. act - wdv method
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
28 September 2013
A Pvt ltd co. purchase 5 machines for 200000 lakh each on 1.4.2010. It charged dep. on 10 lakh as per co. act at wdv method. Now on 31.5.2011, it sold one machine. Then please tell the dep. as per co. act at wdv method for fy 2011-12.
29 September 2013
The Depreciation will be calculated on pro-rata basis till 30.05.2011
Dep Rate 13.91%
Single Shift
Dep for 10-11 Rs. 27,820/-
WDV at the begining of FY 11-12 172180/-
Days machinery used in FY 11-12 60 days
No. of Days in FY 11-12 366 days
Hence Dep 172180X13.91%X66/366 = 4319/-
Dep Rate 13.91%
Single Shift
Dep for 10-11 Rs. 27,820/-
WDV at the begining of FY 11-12 172180/-
Days machinery used in FY 11-12 60 days
No. of Days in FY 11-12 366 days
Hence Dep 172180X13.91%X66/366 = 4319/-
Querist : Anonymous
Querist :
Anonymous
(Querist)
29 September 2013
Please tell dep. for the whole. See wdv as on 31.3.2011 will be 860900.After that dep for 60 days will be 21595. I am confused for the balance period. Whether to deduct cost of asset sold or what will be the total amount on which dep for 306 days will be charged.
04 October 2013
As on 31.03.2011 wdv is 860900
.
.
in 31.05.2011 one machine sold out,,so out of 5 machines 1 machine put to use for 60 days and remaining machines put to use for 365 days...
.
.
So caluculate depreciation accordingly
.
.
however you need to deduct accumulated depreciation of sold machinery from Accumulated depreciation and cost of machinery from gross block,,profit and loss on sale of machinery to be recognised in profit and loss account under indirect income..
.
.
Thanks & regards
Ganesh babu k
.
.
in 31.05.2011 one machine sold out,,so out of 5 machines 1 machine put to use for 60 days and remaining machines put to use for 365 days...
.
.
So caluculate depreciation accordingly
.
.
however you need to deduct accumulated depreciation of sold machinery from Accumulated depreciation and cost of machinery from gross block,,profit and loss on sale of machinery to be recognised in profit and loss account under indirect income..
.
.
Thanks & regards
Ganesh babu k
Message likes :
1 times
08 October 2013
As per companies act you have to calculate profit or loss on the assets which will not be considered in Income Tax and as suggested by the experts calculate as per their suggestion
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
- REGARDING GST ON COMMERICIAL PROPERTY
- Is this income indian or foreign income?
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- TDS U/S. 194NF
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- ITC temporary reversal and reclaim
- Applicable TDS rate for sale of property in Nov 2024
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- Payment of bonus act - notice pay recovery
- MIS MATCH OF INVOICE NUMBER
- GST Regis.
- ITC c/f from FY2022-23 to FY2023-24 entered the same in table 8C of GSTR9 of FY 2022-23, in FY23-24
- Late filling fees Demand by gst office
- IGST Credit-Show cause notice issued-confusion
- Short and Excess provision of expenses
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
Trending Online Classes
CAclubindia
