29 April 2010
my co. has some leased assests on which we are claiming depriciation under companies act.while no depriciation has been claimed under incometax. now i want to know wther the same is a allowable expenses under 32(1)of income tax or not.
29 April 2010
under income tax act, depreciation is taken by leasor only.it won't affect that it is operating or financing lease. as the CBDT holds that the accounting standard will not be relevant for tax purposes. AS-19 is considered only for proper accounting of lease.
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