- 40% is the rate under Income tax law.
- For additional depreciation, there are some specific conditions to be fulfilled.
Depriciation
We are in the business of quarrying/Mining , Earth moving machinery are used in the Business. I want to know the Rate of Depreciation on Earth moving machinery as per IT Law used in quarry/mines. As heavy wear & tear happens in the quarrying / mining any higher depreciation is allowed? Pl guide
Asked 6 years ago in Income Tax
Pl give GR copy for 40% & also conditions for additional depreciation
Asked 6 years ago
The rate of depreciation is 15% of any new vehicle purchased and additional depreciation is available only when you are in the business of manufacture of article or thing and its available @20% only on new machine purchased and not second hand machine.
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Thank you.
What is GR?
Hii,
As per below case law and many other case laws depreciation rate is 15%.
for more details please see below link( this is our NGO page)
http://voiceofca.in/siteadmin/document/14_02_11_2_case.pdf
Dear Sir,
Hope you are doing well !!
In the said scenario, the applicable rate of depreciation would be 15%.
Hello,
In such case, the depreciation rate would be 15%.
Regards,
CA Hunny Badlani
The rate of depreciation in your case would be 15%. These machines being medium/ heavy machines and registered with RTO, can be classified as motor lorries.
However, if you are in the business of hiring these machines, then you can claim 30% depreciation.
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