Hi,
I have a query as follows:
A partner ship firm has a block of assets of Plant and Machinery and there is only one car in the said block for the Previous Year 2008-09. The Opening WDV Is Rs. 350,000 and in the month of December 2009, unfortunately the car was stolen and claim was made to the insurance company and in the month July 2009, the claim of Rs. 225000 was received from the Insurance Company as full and Final Settlement.
Now my query is, whether a firm can claim depreciation in PY 2008-09 because the car was in use for the business for 9 months and what for the Insurance Compensation received whether is it taxable ?
CAclubindia
