DEPRECIATION QUESTION

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

07 January 2011 Hi
Respected Memebers]

I want to know if suppose one fixed asset sold and thereafter method of depreciation is changed from WDV to SlM OR vice versa.

SO by this depreciatin shall be recalculated retrospective effect from the date of asset come to use.

So my question is Whether depreciation shall recalulated on sold asset?

is there any provision of such?

CMA. Dinesh S Adhikari, ACMA

CMA. Dinesh S Adhikari, ACMA (Expert)
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07 January 2011 i think you cannot change depreciation during the year but after completion of year the same can be change with approval of Assessee Officer only.
Therefore, retrospective effect will not work.

However, let the others show their opinion.

Regards

Aditya Maheshwari

Aditya Maheshwari (Expert)
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07 January 2011 As per income tax act you have to follow WDV method only and SLM method is allowed only for power generating companies in income tax act.

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