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Depreciation Rate For Nursing Home Building???

Jiten (Service) (33 Points)

17 September 2008

Depreciation Rate for the Purpose of Income Tax in case of Nursing Home Building to be taken @ 10% or @ 15%?

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3 Replies

salman (ca) (42 Points)
Replied 18 September 2008

According to my knowledge the depreciation rate for building as per Section 32 of the Income Tax act is @ 10% for general buildings and 5% for residential buildings.

The act doesnt specifies a seperate rate of depreciation for nursing hime building.Hence depreciation rate of 10% shall be applicabe on it.

The medical apparatus and fittings in the building shall be charged to depreciation @ 15%. Similarly Furniture @ 10%.

Thanks,

CA Salman Saeed

Kolkata

09339703400

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pawan (study) (32 Points)
Replied 18 September 2008

As per Section 32 of Income Tax Act 1961 Rate of Dep. on any type of Building is 10% if it is used for the Commercial purpose and 5% if it is provided to the Employees for residential purpose by the Assessee.