27 November 2010
Dear, I am quoting an example for Short Term Capital Gain / Loss Booking as well Depreciation Calcuation of What amount for Software ( Plant and Machinery ) - Service Industry
Opening WDV as on 1st April 10 50 Addition during year 2010-11 100 Sale on 31st Oct 10 ( of addition ) -70 Net Block (50+100-70) 80
Here, we have sold off assets at Rs 70 purchased during f.y. 10-11 for Rs 100..
1. Whether depreciation to be provided on Rs 80 Net Block 2. In Depreciation sheet ( as per IT )whether Rs 30 ( Rs 100 - 70 ) will fall under Short term Capital Loss 3. Whether Depreciation to be provided on Net block of Rs 50 ( Rs 80 - Rs 30 STCL )