Depreciation calculation: block-based percentage applies on adjusted block value, with restrictions for short-period acquisitions and non-specified assets disallowances. Depreciation is calculated as the specified percentage of the adjusted value of a prescribed block of assets for all business assets within that block; assets outside prescribed blocks receive no depreciation. The allowance persists for a block while its adjusted value exceeds zero even if constituent assets cease to exist. A restricted deduction (half the amount) applies to assets acquired and used for a short period in the year. Depreciation is disallowed for assets not in a prescribed block or where acquisition expenditure has already been deducted elsewhere under the Code.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Depreciation calculation: block-based percentage applies on adjusted block value, with restrictions for short-period acquisitions and non-specified assets disallowances.
Depreciation is calculated as the specified percentage of the adjusted value of a prescribed block of assets for all business assets within that block; assets outside prescribed blocks receive no depreciation. The allowance persists for a block while its adjusted value exceeds zero even if constituent assets cease to exist. A restricted deduction (half the amount) applies to assets acquired and used for a short period in the year. Depreciation is disallowed for assets not in a prescribed block or where acquisition expenditure has already been deducted elsewhere under the Code.
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