16 February 2009
FOR THE PURPOSE OF CHARGING DEPRICATION UNDER THE COMPANIES ACT WHAT RATE OF DEP. SHOULD APPLY ON LAND & BULDING.OR IT IS POSSIBLE TO NOT DEPRICIATE THE ITEM BECAUSE IT ACCOMPAINED WITH THE NON DEPRICAITE ITEM. PLS TELL ME THE PROCEDURE OF CHARGING THE DEP. ON LAND & BULDING.
16 February 2009
You must have valulation of land & building with you, if not then you need to get the valulation done for depreciation purpose.
In case if you does not charged the depreciation on the land & building b'coz "IT ACCOMPAINED WITH THE NON DEPRICAITE ITEM" as you said then if financial statement does not comply with accounting standard & will not show true & fair view as required as per companies act. Also auditor will make observation in his Audit Report for that.
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