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Motor car depreciation

09 August 2020

if a motor car is given out for repair for three months in a year then depreciation is charged for 9 months or 3 months.

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3 Replies

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 09 August 2020

Depreciation on car required to be charged for full year....it's not on basis of how much you used in a year.

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Asha Kanta Sharma (Manager - Finance & Accounts) (36365 Points)
Replied 10 August 2020

Yes depreciation can be claimed for the full year.

Rama chary Rachakonda (Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294) (5265 Points)
Replied 05 April 2023

Depreciation for cars means a reduction in the value of the cars throughout their life; the depreciation rate is very high for new cars and may be different for each model. In the first year, a car may suffer a decrease of about 10 percent, and the decrease in value increases yearly. On average, most of the car’s value is lost in five years, and a nominal scrap value is left.