depreciation

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ganesh kumar (Querist)
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27 June 2016 if in que. fixed assets purchaged during the are given ..how to calculate depreciation ....6months or 12 month (NON-PROFIT ORGANIZATION)

Rupesh Jain

Rupesh Jain (Expert)
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27 June 2016 there is not depreciation allowed as per Income tax , for calculating profit IT consider as application of funds. and receipts of fund diff of both will be income you have to use 85% of fund for the purpose for trust as estiblised by you.
normally for business as per income tax act depreciation take if you use assets more than 180 days then full rate of depreciation will charge, otherwise 50% of normal depreciation will allowed.