Puja Sharma
(CA)
(433 Points)
Replied 10 April 2019
Under Companies Act - concept of useful life is being followed
a. Servers and Networks - 6 years
b Computer, laptop - 3 years.
However the mgmt of the company can accept different useful life.
Under Income Tax Act,
Computer and computer software - 40% Rate of Dep.
Puneet Taneja
(Finance Professional)
(1149 Points)
Replied 03 September 2020
As per Income Tax Act,1961
Rate of Depreciation on Computer, Computer Software, Laptops and Keyboard - 40 %
As Per Companies Act, 2013 Useful life of Computer, Laptops is 3 Years and Servers and Networks is 6 years.
Rate of Depreciation for Computer , Laptops under Straight line method is 31.67% per year and Written down value method is 63.16% per year.
Rate of Depreciation for Servers and networks under Straight line method is 15.83% per year and Written down value method is 39.30% per year.
shahyar husain
(1240 Points)
Replied 05 December 2020
Neethi V. Kannanth
(.)
(19020 Points)
Replied 13 January 2021
As per the Income tax Act depreciation rate is 40% for the computers, computer software and laptops.
CA Rashmi Gandhi
(Chartered Accountant)
(86323 Points)
Replied 30 January 2021
Rate for Computer is 40%. Also complete list is given on below link
https://www.incometaxindia.gov.in/Charts%20%20Tables/Depreciation%20rates.htm
Ritik Chopra
(student)
(8128 Points)
Replied 13 February 2021
Depreciation rate for Computers including computer software and laptops is 40%. A “Computer software” means any computer programme recorded on any disc, tape, perforated media or other information storage device.
Neha
(ENTREPRENEUR)
(200 Points)
Replied 07 February 2023
As per the Income Tax Act, 1961 in India, the depreciation rate for computers, computer software, and laptops is 40%. This rate applies to these assets as they are considered as "Electronic gadgets and appliances" and their useful life is assumed to be 5 years.
Nurul Ahmed
(6 Points)
Replied 04 June 2023
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