Deduction u/s 32

Tax queries 512 views 7 replies

deepak kumar srivastava

281 Points Joined January 2010

WDV OF THE BLOCK OF ASSET OF P.Y 2013-2014 AFTER DEPRECIATION ALLOWANCE U/S 32 = 2000000.

A MACHINE WAS ACQUIRED ON 25-09-2014 COSTING RS 600000.

A MACHINE WAS DESTROYED BY FIRE OCCURRED IN MARCH 2015 FOR WHICH INSURANCE COMPANY ADMITTED A CLAIM OF RS. 300000 ON 20-04-2015 AND PAID THE SAME ON 05-05-0215. THIS MACHINE WAS SCRAPED FOR RS. 20000.

A NEW MACHINE WAS PURCHASED ON 08-05-2015 COSTING RS 800000.

RATE OF DEPRECIATION IS 10% FOR THIS BLOCK OF ASSET.

HOW TO COMPUTE DEPRECIATION ALLOWANCE U/S FOR THE ASSESSMENT YEAR 2016-2017

Replies (7)

Karthik.V.Kulkarni

Chartered Accountant

594 Points Joined December 2012

234000+800000-300000-20000 will be wdv

Karthik.V.Kulkarni

Chartered Accountant

594 Points Joined December 2012

Actually it will be 2052000+800000 wdv for 16-17

Hardeep Singh

CHARTERED ACCOUNTANT

205 Points Joined September 2010

Ay 15-16 Op wdv 20,00,000 + additions 6,00,000 - deletions 0 Cls wdv 26,00,000 Dep 2,60,000 Cls wdv after dep 23,40,000 Ay 16-17 Op wdv 23,40,000 + additions 8,00,000 - deletions 3,20,000 Cls wdv 28,20,000 Dep 2,82,000 Cls wdv after dep 25,38,000

Hardeep Singh

CHARTERED ACCOUNTANT

205 Points Joined September 2010

Assumed new machines doesnt qualify for additional depreciation And were put to use immediately Thanks

vishnu Vardhan Naidu

Completed Group 1 of ca final

34 Points Joined October 2015

The Depreciation allowence for A.Y 2015-16 will be 2,85,200

CA. Roopali Kadam

Jobs on assignment basis.

1481 Points Joined December 2009

Originally posted by : Hardeep Singh
	Ay 15-16 Op wdv 20,00,000 + additions 6,00,000 - deletions 0 Cls wdv 26,00,000 Dep 2,60,000 Cls wdv after dep 23,40,000 Ay 16-17 Op wdv 23,40,000 + additions 8,00,000 - deletions 3,20,000 Cls wdv 28,20,000 Dep 2,82,000 Cls wdv after dep 25,38,000

i got same answer

deepak kumar srivastava

281 Points Joined January 2010

Computation WDV OF 2015-16

WDV OF 2013-14 U/ S 43(6)(c)(ii)	Not given
Dep allowance of p.y 2013-14	-
Wdv of block after dep	2000000
Add: actual of the asset acquired during 2014-2015	600000
	2600000
Less : moneys payable in respect of asset sold, destroyed, discarded or demolished during the p.y 2014-2015 together with scrap value not exceeding 1400000	300000+20000=320000
Wdv of p.y 2014-2015	2280000
Less Dep allowance of p.y 2014-2015	228000
	2052000
Add: actual cost of the assets acquired in 2015-2016	800000
	2852000
Less: moneys payable in respect of sold ………..etc.	nil
Wdv of block of 2015-2016	2852000