Depreciation

588 views 1 replies

A company is charging Depreciation  @ 13.91% on its assets  under plant & machinery .

Now, the company has noticed that useful life of that asset is not more than 3 years.

In these circumstances, whether the company can change rate of depreciation .

Whether company can write off the assets which are more than 3 years old.

Please suggest the correct procedure & accounting treatment with regard to above.

 

Replies (1)

No, the company cannot change the rate of depreciation.It has to follow the rates prescribed in the Companies Act..A company can write off its fixed only when it is to be scrapped or sold or discarded..Till then it has to show the assets in the books and provide depreciation regularly as per the prescribed rates in the act

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
25 June 2026
Accounts & Taxation Executive

Dindukurthy & Associates

Hyderabad

MBA

View Details
Company
ARTICLESHIP 08 July 2026
Articles

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
22 June 2026
Finance Manager- Chartered Accountant

Triveni Turbine Limited

Bengaluru

CA

View Details
Company
06 July 2026
Chartered Accountant (Indirect Taxation)

Gowra Ventures Pvt Ltd

Hyderabad

CA

View Details
Company
20 June 2026
Assistant Accounts Manager

Fintax Professionals

Gurgaon

CA Inter

View Details
Company
25 June 2026
AUDIT MANAGER

JDAS & ASSOCIATES

New Delhi

CA

View Details
Company
29 June 2026
Accountant (Finance & Compliance)

TRIEYEZ

Kolkata

CA

View Details
Company
29 June 2026
ACCOUNTANT

SANDEEP AASHISH & CO

Araria

B.Com

View Details