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Mar 05 2020 · Calculate the straight line depreciation rate with the equation 1 5 2 Double the depreciation rate with the equation 2 x 2 4 The double depreciation rate is 40 percent Calculate deprecation for the first year with the equation 60 000 x 4 24 000 This is the amount of depreciation that will be recorded in year one …
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During the computation of gains and profits from profession or business taxpayers are allowed to claim depreciation on assets that were acquired and used in their profession or business The Income Tax Act 1962 has made it mandatory to calculate depreciation Following are the depreciation rates for different classes of assets …
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