Hi!
My query is as follows: The assessee follows block of assets for income tax purpose however in its books it maintains the individual assets separately. A new car worth Rs.910835/- is purchased during the 2nd half of the year & it is considered to be used for personal use in the proportion of 50% & thus a depreciation of only Rs.34156/- is claimed in the P&L A/c.
The position as per block of assets is:
Opening WDV = 208462
Additions = 910835
Deductions = 210000
Closing WDV = 909297
My query is whether for income tax purpose a disallowance of depre for personal use should be made at Rs.34156/- or in the proportion of 50% of the depre on the Closing WDV?
Kindly Help !
Thank You!
CAclubindia
