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Querist : Anonymous

Querist : Anonymous (Querist)

23 July 2014 Can anyone guide me on this issue. If an assessee is in a trading business of certain type of machines. Can the machines purchased kept as demo machines can be classified as Fixed Assets and depreciation can be claimed on them?

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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23 July 2014 no as these are not capital assets but stock in trade and there cannot be any dep claim on stock in trade even though they are depreciated.

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Querist : Anonymous

Querist : Anonymous (Querist)

23 July 2014 Plz also refer me the section which restricts such practice.

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Querist : Anonymous

Querist : Anonymous (Querist)

23 July 2014 Plz also refer me the section which restricts such practice.

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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23 July 2014 refer sec 32 and also refer singhania it clearly mentions this concept.

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