Library / Income-tax Act, 2025: The Professional's Master Guide
Appendix K: Depreciation Rates (Written Down Value Method)
Rates as prescribed in the Rules for commonly used blocks. Half the rate applies where an asset is put to use for less than 180 days in the year of acquisition. Additional depreciation, where available, is separate.
Block of assets | Rate |
|---|---|
Buildings used mainly for residential purposes (other than hotels and boarding houses) | 5% |
Buildings other than residential (offices, factories, hotels) | 10% |
Purely temporary erections such as wooden structures | 40% |
Furniture and fittings, including electrical fittings | 10% |
Plant and machinery (general rate) | 15% |
Motor cars (other than those used in a business of hiring) | 15% |
Motor buses, lorries and taxis used in a business of running them on hire | 30% |
Aeroplanes and aero engines | 40% |
Computers including computer software | 40% |
Books owned by professionals (annual publications and others) | 40% |
Energy saving devices, renewable energy devices, pollution control equipment (as specified) | 40% |
Ocean going ships, vessels | 20% |
Know-how, patents, copyrights, trademarks, licences, franchises and similar commercial rights (not goodwill) | 25% |
Key point Goodwill of a business or profession is not a depreciable asset. Where goodwill was part of a block earlier, the Rules prescribe how the block is adjusted. |
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