04 March 2013
Dep. for IT purpose in case of new Firm/Co.
A new firm/co incorporated in Jan 2013, it means operative for 3 months onle. As per IT provision there is no concept of dep. on the basis of no. of days. Section talk about concept of less than 180 days & more than 180 days. My concern is even co. is in existence just for 90 days will it be allowed 180 days dep. pls suggest me as per applicable prov. of act the correct treatment Thanks Rahul
04 March 2013
Department will provide the deduction on account of depreciation for 90 days only...depreciation can not be claimed for the period during which the company was not in existence.....
04 March 2013
Dear Parul Thanks for expert openion Logically i am agreed with your view & have the same openion however i have not found any clarification or prov. in the Act. Pls provide me the link/prov. where i can get the details about the same.