Solar Panel Depreciation Rate As Per Income Tax Act

Depreciation rates as per income tax act for the financial years 2015 16 2016 17 are given below.

Solar panel depreciation rate as per income tax act.

Solar pumps based on solar thermal and solar photovoltaic conversion 80 k solar photovoltaic modules and panels for water pumping and other. Pipe type and concentrating solar collectors ii flat plate solar collectors iii solar cookers. The depreciable amount of an asset is the cost of an asset or other amount substituted for cost less its residual value. This is according to the income tax act 1962 which gives the different rates of depreciation for different classes of assets.

Article provides rates of depreciation as per income tax act 1961 on building plant machinery furniture fittings ships on intangibles assets i e. A list of commonly used depreciation rates is given in a. Know how patents copyrights trademarks licences franchises or any other business or commercial rights of similar nature for financial year 2002 03 to 2019 20 and onwards. Flat plate solar collectors b concentrating and pipe type solar collectors c.

Depreciation is the systematic allocation of the depreciable amount of an asset over its useful life. Also as per section 32 1 ii a of income tax ac 1961 an additional depreciation of 20 of actual cost can be claimed if new plant and machinery is installed for purpose of manufacturing. Depreciation as per income tax calculator depreciation rate finder. Part a tangible assets.

1 schedule ii 2 see section 123 useful lives to compute depreciation. Depreciation under companies act 2013.