Higher depreciation on certain motor cars, motor buses, motor lorries and motor taxis

MINISTRY OF FINANCE

(Department of Revenue)

(CENTRAL BOARD OF DIRECT TAXES)

NOTIFICATION

New Delhi, the 20th September, 2019

(Income-tax)

G.S.R. 679 (E).—In exercise of the powers conferred by section 32 read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes, hereby, makes the following rules to further amend the Income-tax Rules, 1962, namely:-

  1. Short title and – (1) These rules may be called the Income-tax (9th Amendment) Rules, 2019.

(2) They shall be deemed to have come into force with effect from the 23rd day of August, 2019.

  1. In the Income-tax Rules, 1962, in the NEW APPENDIX I, in the Table, in PART A relating to TANGIBLE ASSETS, in item III relating to MACHINERY AND PLANT, –

(a) for sub-item (2) and entries relating thereto, the following shall be substituted, namely:-

Block of Assets Depreciation allowed as per percentage of written down value
1 2
“(2) (i) Motor cars, other than those used in a business of 15
running  them on hire, acquired or put to use on or after  
the 1st day of April, 1990 except those covered under  
entry (ii);  
(ii) Motor cars, other than those used in a business of 30”;
running them on hire, acquired on or after the 23rd day of
August, 2019 but before the 1st day of April, 2020 and is
put to use before the 1st day of April, 2020.

 

(b) in sub-item (3), for paragraph (ii) and entries relating thereto, the following shall be substituted, namely:-

Block of Assets Depreciation allowed as per percentage of written down value
1 2
“(ii) (a) Motor buses, motor lorries and motor taxis used 30
in a business of running them on hire other than those  
covered under entry (b).  
(b) Motor buses, motor lorries and motor taxis used in a  
business      of     running      them      on                   hire, acquired 45”.
on or after the 23rd day of August, 2019 but before the 1st
day of April, 2020 and is put to use before the 1st day of
April, 2020.

[Notification No. 69 /2019/ F.No. 370142/17/2019-TPL]

SAURABH GUPTA, Under Secy. (Tax Policy & Legislation Division)

 

Explanatory Memorandum: It is certified that no person is being adversely affected by giving retrospective effect to this notification.

Note : The principal rules were published in the Gazette of India vide notification number S.O. 969(E), dated the  26th  March,  1962  and  last  amended  vide  notification  number  G.S.R.  662(E)  dated  the 17th September, 2019.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064 and Published by the Controller of Publications, Delhi-110054.

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