W/off of Assets

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Querist : Anonymous

Querist : Anonymous (Querist)

09 June 2010 Is there any requirement as per Co,s Act to w/off asset in the year of acquisition if amt @ which it is purchased is less than or equal to Rs. 5,000/-, If so, can you tell me the Sec No./Rule No. etc

Aditya Maheshwari

Aditya Maheshwari (Expert)
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09 June 2010 as per schedule XIV to companies act

8. Notwithstanding anything mentioned in this Schedule depreciation on assets, whose actual cost does not exceed five thousand rupees, shall be provided depreciation at the rate of hundred per cent:]

1[Provided that where the aggregate actual cost of individual items of plant and machinery costing Rs. 5,000 or less constitutes more than 10 per cent of the total actual cost of plant and machinery, rates of depreciation applicable to such items shall be the rates as specified in Item II of the Schedule.]

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