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Computer's depriciation

Sandeep Himatsingka (SCM-Head) (85 Points)

07 May 2012

Sirs,

I have purchased 1 computer on 01-September-2010.

For accounting (for IT purpose), can I claim 'DEPRICIATION' on it?
If yes how much & how to calculate subsequently?
In Tally, this DEPRICIATION 'ledger', if created, should be under which GROUP (of Tally)?
Computer ledger should be under which GROUP (of Tally)?

Please wud feel obliged if illustrated with an example.

Thanks in advance.

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9 Replies

neeraj (CA) (930 Points)
Replied 07 May 2012

1. Yes

2. 60%

3. Under Indirect expenses

4. Under Fixed Asstets

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(Guest)

1. you cannot claim depreciation as per IT

3. depreciation will be grouped under indirect expenses

4. computers will be grouped under fixed assets

Rajesh Dubey (Chartered Accountant) (144 Points)
Replied 07 May 2012

1.Yes, u can claim depreciation for F.Y. 2010-11 @ 60% as per Income Tax Act 1961

2. In subsequent years also u can claim dep. @ 60% on W.D.V.

3. Depreciation ledger must be grouped under Indirect Exps.

4. Computer should be grouped under Fixed Assets.

Sandeep Himatsingka (SCM-Head) (85 Points)
Replied 07 May 2012

Thanks Rajesh & Neeraj,

Point#2: For 2011-12 (year ended on 31-March-2012), I will calculate depriciation @ 60%. But to be more clear, please illustrate the figure for First Purchase Value of Computer @ 21000=00 purchased on 01-September-2010.
Lastly till what value (of the assets, here computer), I "should" claim depriciation & then stop claiming depriciation?

Thanks

Prateek Agarwal (Sr. Executive - Finance & Accounts) (1732 Points)
Replied 07 May 2012

You can claim depreciation @ 60% for the F.Y. 2010-11.

Purchase value 21000

Less Depreciation for the FY 2010-11 @ 60% = 12600

Book value as on 01.04.2011 : Rs. 8400

Less: Depreciation for the FY 2011-12 = 60% of Rs. 8400 = 5040/-

You are following written down value method of calculating depreciation i guess.

So these figures would suffice.

Regards

Prateek

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Sandeep Himatsingka (SCM-Head) (85 Points)
Replied 07 May 2012

Prateek,

Yes I am following written down value method of calculating depreciation.

Please answer my last para: Lastly till what value (of the assets, here computer), I "should" claim depriciation & then stop claiming depriciation?

Thanks

Prateek Agarwal (Sr. Executive - Finance & Accounts) (1732 Points)
Replied 07 May 2012

You can claim depreciation till the value of the asset is ZERO.

MUKESH MAHARAJ (ACCOUNTS & FINANCE) (25 Points)
Replied 07 May 2012

How to download online TDS Certificates in Form No. 16A. F/y 2011-12 last date of TDS Return is 15/5/12, if I file the same by 31st May? Please advice