Depreciation-WDV Method

This query is : Resolved

Veerendra (Querist)
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08 July 2009 How to calculate WDV on block of asset pertaining to following case ?

Block - III Plant and Machinary

WDV (asset-1 and 2) 1-04-2008 Rs 75000-00
Sales Asset-1 (Opening WDV Rs 65000)for Rs 80000-00 on 1-08-2008

Purchases 1-09-2008 Rs 90000-00

Is there any prifit on sale?
How to treat that profit?

CA Devanshi Gandhi (Ajani)

CA Devanshi Gandhi (Ajani) (Expert)
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08 July 2009 opening wdv 75000
less :sale (80000)
add : purchase 90000

closing wdv 85000

as section 50 is not applicable ( wdv is not zero and block is not empty) provide depreciation on 85000 for full year as its for more than 182 days.

Veerendra

Veerendra (Querist)
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10 July 2009 Thanks for your timely reply

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