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Depreciation after government subsidies

11 June 2024

Hii good morning

If I buy machine for 10,000,00/-

From Government I have received subsidy RS. 2,00,000/-

Now I have to Book depression

At what amount I have to calculate depreciation on 8,00,000 or on 10,00,000/-

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4 Replies

sabyasachi mukherjee (27574 Points)
Replied 11 June 2024

Depriciation after subsidy is eligible for allowable expenditure

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prasad Nilugal ( GST Practitioner & Accounts ) (14801 Points)
Replied 11 June 2024

What is status, Company, Firm , LLP , or any other ? please clarify.

Shiva Dubey (166 Points)
Replied 11 June 2024

Tell me both for proprietary and pvt Ltd

prasad Nilugal ( GST Practitioner & Accounts ) (14801 Points)
Replied 11 June 2024

For Sole proprietorship you have to refer AS 12 (Accounting for Govt grants) & For Company you have to refer IND AS 20 ( Government grants & disclosure) .