13 July 2014
who is authorised to capitalise the fixed Assets taken on finance lease and who can claim depreciation as per it act , whether to lessor or lesse?
02 August 2014
In case of Finance Lease, it is the Lessee who can capitalize the Asset in his books as per AS 19. But, as per IT Act, it is the lessor who can claim the depreciation for that asset. Hence, a deferred tax aspect will arise in this case.
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