CA CMA CS VIRAG SHAH (9773395720) (759 Points)
07 June 2010IF I NOT TAKE DEPRECIATION IN A.Y 2009-10 & I WANT TO TAKE DEPRECIATION IN A.Y 2010-11 ,SO HOW CAN I TAKE THIS DEPRECIATION ?????
PLEASE ADVICE ME ON THIS....
THANK YOU ALL IN ADVANCE.............
CA.G.Muguntha Narayanan
(Internal Auditor at TVS Motors)
(2195 Points)
Replied 07 June 2010
Dear Virag,
Depreciation under Se.32 must be provided even if it is not provided in the books of account. So, there is no possibility to transfer one year depreciation to another in Sec.32
Venkateswara Rao Sapare
(Accountant)
(1500 Points)
Replied 07 June 2010
Dear friend,
As per Accounting Standard 6 Depreciation, if the depreciation was not taken into consideration in the previous year or years, same may be charged to the statement of Profit and Loss in the current year along with the depreciation for the period.
From any expenditure, if any benefits are expected to flow to an enterprise for over more than one year, to that extent proportionately portion of depreciable asset value should get charged to the statement of Profit and Loss.
We all may be aware that there may be instances where revaluations of depreciable assets will be taking place. In such cases, depreciation will be recalculated since the inception of that particular asset which is subjected to revaluation.
"Disclosure - Accounting standard 1" .Same must be disclosed in your Financial Statements. What is its impact on your profit must be given along along with calculations.
'Frame work' for preparation and presentation of 'Financial Statements' is very clear about it.
The Companies Act says if depreciation is not considered, the enterprise will not be encouraged to declare dividend. In your case, the said unaccounted depreciation may or may not be significant, but it carries its own financial implications, which will be more useful for the users of 'Financial Statements.
CA Shiv
(Business Controller)
(2987 Points)
Replied 07 June 2010
Agree to them....You cannot claim depreciation of double amount in next year...
CA.G.Muguntha Narayanan
(Internal Auditor at TVS Motors)
(2195 Points)
Replied 07 June 2010
Dear Venkat,
I give due respect to the valid points said by you. But in I.T. act, there is no concept of revaluation. Hence, in section32, there is no scope for allowing depreciation of previous year(Unless it is unabsorbed dep)
Aditya Maheshwari
(CA in Practice)
(35867 Points)
Replied 07 June 2010
From books point of view the same can be done as there is AS - 4 for the same and hece the same can be done. However the same is not possible for income tax purpose as there is no provision for the same.
Aditya Maheshwari
(CA in Practice)
(35867 Points)
Replied 07 June 2010
However u can revise ur return for A. Y. 2009 - 10 and claim deprecaition in that year only.
Sandeep Arora
(Learner)
(139 Points)
Replied 07 June 2010
Depriciation u/s 32 shall be claimed i.e mandatory for the same previous year.
Goetze India Ltd.( SC) held that Depreciation must be claimed through the revised return for the same assessment year in which was allowed in the previous year subject to the time limits of revise return.
varun gupta
(Senior Accounts Officer)
(89 Points)
Replied 07 June 2010
Sandeep arora is right and with case law it has made more clear.
SHAH BHAVYA
(Article)
(22 Points)
Replied 08 June 2010
My Friend, in books what u have did it doesn't matter. but as per the Income Tax Act depreciation is compulsory, not optional.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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