The Central Board of Direct Taxes ( CBDT ) has notified new depreciation rates of 30% and 45 on vehicles purchased between 23.08.2019 to 31.03.2020.
The rates of 15% is applicable on Motor cars, other than those used in a business of running them on hire, acquired or put to use on or after the 1st day of April, 1990 except those covered under entry (ii);
The rate of 30% on motor cars (other than those used in a business of running them on hire) & 45% on Motor buses, motor lorries and motor taxis used in a business of running them on hire. Such vehicles should have been acquired on or after 23-08-2019 but before 01-04-2020 and are put to use before the 01-04-2020.
It is also applicable on Motor buses, motor lorries and motor taxis used in a business of running them on hire other than those covered under entry (b).
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