Low value assets

This query is : Resolved

A.JAGADEEP (Querist)
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21 August 2013 Sir,

If i purchased 10 chairs costing each 3000/- and invoice raised for 30000/-. so in current year what is depreciation amount that i can claim?

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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21 August 2013 You have not mentioned whether you need depreciation as per companies act or income tax act.

They are furniture and rate shall be charged as that applicable for Furniture.

CA UMESH DULAL

CA UMESH DULAL (Expert)
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21 August 2013 as per company act you can write off entire amount as expenses as the value of assets is less than 5000

as per IT act, you can deprecate @ 10%

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A.JAGADEEP

A.JAGADEEP (Querist)
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21 August 2013 Umesh Sir,

Here we have to consider single chair (costing-3000/-) only and not total value?
is it right??

We have to consider individual cost of the asset only?

CA UMESH DULAL

CA UMESH DULAL (Expert)
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21 August 2013 yes you can take value of single chair

A.JAGADEEP

A.JAGADEEP (Querist)
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21 August 2013 thanks for u r kind information sir