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Depreciation Rate Chart (Income-tax Act, 1961)

Depreciation Rate Chart (Income-tax Act, 1961)

(As shown in the above applicable from FY 2025-26 onwards on WDV basis)

Asset / Block Depreciation Rate
Residential Building 5%
Other Buildings 10%
Temporary Wooden Structures 40%
Furniture & Fittings 10%
General Plant & Machinery 15%
Motor Cars 15%
Motor Buses, Lorries & Taxis Used on Hire 30%
Computers & Computer Software 40%
Books Owned by Professionals 40%
Books Used in Lending Business 40%
Intangible Assets* 25%

Notes : Depreciation is allowed on the Written Down Value (WDV) method under the Income-tax Act. Intangible Assets generally include Know-how, Patents, Copyrights, Trademarks, Licences and Franchises

Half-Year Rule

If an asset is put to use for less than 180 days during the financial year, only 50% of the applicable depreciation rate can be claimed in that year.

Normal Rate Rate if Used for Less than 180 Days
5% 2.5%
10% 5%
15% 7.5%
25% 12.5%
30% 15%
40% 20%

Quick Examples

Asset Cost (INR ) Rate Full-Year Depreciation (₹)
Office Building 10,00,000 10% 1,00,000
Furniture 5,00,000 10% 50,000
Computer 1,00,000 40% 40,000
Motor Car 8,00,000 15% 1,20,000
Intangible Asset 4,00,000 25% 1,00,000

Important: Here we are a simplified reminder chart. For tax audit and return filing purposes, always refer to Appendix I of the Income-tax Rules and check for any special depreciation rates applicable to specific industries or assets. here under you can find the Complete Depreciation Rate Chart (Income-tax Act, 1961)

Rajput Jain & Associates

Rajput Jain & Associates is a Chartered Accountants firm, with it's headquarter situated at New Delhi (the capital of India). The firm has been set up by a group of young, enthusiastic, highly skilled and motivated professionals who have taken experience from top consulting firms and are extensively experienced in their chosen fields has providing a wide array of Accounting, Auditing, Taxation, Assurance and Business advisory services to various clients and their stakeholders. Rajput jain & Associates, a professional firm, offers its clients a full range of services, To serve better and to bring bucket of services under one roof, the firm has merged with it various Chartered Accountancy firms pioneer in diversified fields. We have associates all over India in big cities. All our offices are well equipped with latest technological support with updated reference materials. We have a large team of professionals other than our Core Team members to meet the requirements of our prospective clients including the existing ones. However, considering our commitment towards high quality services to our clients, our team keeps on growing with more and more associates having strong professional background with good exposure in the related areas of responsibility.

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