1. “Buildings” – Block of Assets with Rate of Depreciation
|Block 1||Buildings which are used mainly for residential purposes except hotels and boarding houses||5%|
|Block 2||Buildings other than those used mainly for residential purposes and not covered by sub-items (1) above and (3) below||10%|
|Block 3||(i) Buildings for installing machinery and plant forming part of water supply project or water treatment system and which is put to use for the purpose of business of providing infrastructure facilities under section 80- IA(4)(i)
(ii) Purely temporary erections such as wooden structures
2. “Furniture and Fittings” – Block of Assets with Rate of Depreciation
|Block 1||Furniture and fittings including electrical fitting||10%|
3. “Machinery and Plant” – Block of Assets with Rate of Depreciation
|Block 1||Motor cars, other than those used in a business of running them on hire. (Also see item No. (iv) in block 3 for rate of depreciation of motor car acquired on or after 23.8.2019 but before 1.4.2020 and is put to use before 1.4.2020)
Machinery and plant other than those covered by block Nos. 2 to 8 below.
(i) Ocean-going ships including dredgers, tugs, barges, survey launches and other similar ships used mainly for dredging purposes and fishing vessels with wooden hull.
(ii) Vessels ordinarily operating on inland waters, not covered by sub-item (c) below.
(iii) Vessels ordinarily operating on inland waters being speed boats.
|Block 3||(i) Motor buses, motor lorries and motor taxis used in a business of running them on hire. (Also see Block 5 for rate of depreciation of Motor buses, motor lorries, etc. acquired on or after 23.8.2019 but before 1.4.2020 and is put to use before 1.4.2020)
(ii) Moulds used in rubber and plastic goods factories.
(iii) Machinery and plant, used in semi-conductor industry covering all integrated circuits (ICs) (excluding hybrid integrated circuits) ranging from small scale integration (SSI) to large scale integration/very large scale integration (LSI/VLSI) as also discrete semi-conductor devices such as diodes, transistors, thyristors, trials, etc.) other than those entitled to 80% rate of depreciation, given in block 7 below.
(iv) Motor cars, other than those used in a business of running them on hire, acquired on or after 23.8.2019 but before 1.4.2020 and is put to use before 1.4.2020.
|Block 4||(i) Aeroplanes — Aeroengines.
(ii) Commercial vehicle which is acquired by the assessee on or after 1.10.1998, but before 1.4.1999 and is put to use for any period before 1.4.1999 for the purposes of business or profession.
(iii) Specified life saving medical equipment
(iv) Containers made of glass or plastic used as re-fills.
(v) New commercial vehicle which is acquired on or after 1.1.2009 but before 1.10.2009 and is put to use before 1.10.2009 for the purposes of business or profession
(vi) Computers including computer software
(vii) Books, (other than books, (a) being annual publications, or (b) books owned by assesses carrying on business in running lending libraries).
(viii) Gas cylinders including valves and regulators, Direct fire glass melting furnaces used in Glass manufacturing concerns, Plant used in field operations (above ground) distribution, and Plant used in field operations (below ground), but not including kerbside pumps including underground tanks and fittings used in field operations (distribution) by mineral oil concerns.
(ix) Rollers used in Flour mills, Rolling mill rolls used in Iron and steel industry, Rollers used in Sugar works, Energy saving devices, Renewal energy devices and
(x) Wind mills and any specially designed devices which run on wind mills installed on or after 1-4-2014
(xi) Any special devices including electric generators and pumps running on wind energy installed on or after 1-4-2014
(xii) Machinery and plant, acquired and installed in a water supply project or a water treatment system and which is put to use for the purpose of business of providing infrastructure facility under section 80-IA(4)(i).
(xiii) Wooden parts used in artificial silk manufacturing machinery.
(xiv) Cinematograph films — bulbs of studio lights.
(xv) Match factories — Wooden match frames.
(xvi) Tubs, winding ropes, haulage ropes and sand stowing pipes, and Safety lamps used in Mines and quarries.
(xvii) Salt works — Salt pans, reservoirs and condensers, etc., made of earthy, sandy or clayey material or any other similar material.
(xviii) Books owned by assessees carrying on a profession, being annual publications.
(xix) Books owned by assessees carrying on business in running lending libraries.
(xx) Air pollution control equipment, Water pollution control equipment, Solid waste control equipment, Solid waste recycling and resource recovery systems.
|Block 5||Motor buses, motor lorries and motor taxis used in a business of running them on hire, acquired on or after 23.8.2019 but before 1.4.2020 and is put to use before 1.4.2020.||45%|
4. “Intangible Assets” – Block of Assets with Rate of Depreciation
|Block 1||Know-how, Patents, Copyrights, Trademarks, Licences, Franchises or any other Business or Commercial Rights of similar nature.||25%|
1. “Buildings” include roads, bridges, culverts, wells and tube-wells.
2. Water treatment system includes system for desalinisation, demineralisation and purification of water.
3. 40% depreciation is allowable on temporary wooden structure and tin shed as these are purely temporary erection.
4. “Electrical fittings” include electrical wiring, switches, sockets, other fittings and fans, etc.
5. “Computer software” means any computer programme recorded on any disc, tape, perforated media or other information storage device.
6. Machinery and plant includes pipes needed for delivery from the source of supply of raw water to the plant and from the plant to the storage facility.
7. Plant shall not include buildings, furniture and fittings and as such the building, electrical fittings, etc. cannot be treated as plant.