Depreciation Calculator Excel — IT Act & Cos Act
Compute depreciation under the Income Tax Act 1961 (written-down-value method) and Companies Act 2013 (Schedule II — both SLM and WDV). Dropdown covers 90+ asset classes with auto-populated rates and useful life. Handles half-year-rule, additional depreciation, and block-of-assets concept.
⬇ Download Excel — Free No signup. No email required. Direct download.What you get
Sheet-by-sheet overview
Workbook contents (4 sheets)
- Cover — Version, legal basis, methodology note on WDV vs SLM.
- Rate Reference — Master table with 90+ asset classes — IT Act rates and Cos Act useful life.
- IT Act WDV Calc — Asset dropdown, cost, date of put-to-use, half-year flag, additional depr flag → depreciation for the FY.
- Cos Act SLM & WDV — Cost, residual value (5% default per Sch II), useful life → annual depreciation both methods.
How to use
- Open the workbook and go to the relevant calculation sheet (IT Act or Cos Act).
- Select the asset class from the dropdown — rate (IT Act) or useful life (Cos Act) auto-populates.
- Enter actual cost, date of put-to-use, and toggle the half-year-rule flag if applicable (used less than 180 days in year of addition).
- For new plant & machinery eligible for additional depreciation u/s 32(1)(iia), enable the flag — an extra 20% depreciation is applied in the first year.
- Depreciation for the FY is auto-computed. Copy to your books with confidence.
Why this utility matters for CAs and salaried professionals
Indian accountants have to compute depreciation under two entirely separate frameworks — the Income Tax Act 1961 (which uses the written-down-value method grouped into blocks of assets, per Sec 32) and the Companies Act 2013 (which prescribes useful life in Schedule II and allows either SLM or WDV at the entity’s choice). The rates, methodology, and even the list of asset categories differ. Every year-end closing requires both sets to be worked out, and the gap between them flows into deferred tax via AS 22 / Ind AS 12.
This Excel utility handles both frameworks in one workbook. The Rate Reference sheet lists 90+ asset classes — from Factory Buildings to Computer Software, from Motor Cars (used for business) to Intangibles — with the applicable IT Act WDV rate and Cos Act useful life side-by-side. Pick an asset from the dropdown on either calculation sheet and the relevant rate / life auto-populates.
Half-year rule under Sec 32(1)
If an asset is used for less than 180 days in the year of acquisition, only 50 percent of the normal depreciation is allowed in that FY. The workbook has a flag for this — when Yes, the formula halves the IT Act depreciation automatically. This rule does not apply under the Companies Act (depreciation is pro-rata from date of put-to-use).
Additional depreciation u/s 32(1)(iia)
New plant & machinery (excluding office equipment, furniture, ships, aircraft, and road transport vehicles) qualifies for an additional 20 percent depreciation in the year of installation, provided the assessee is in the business of manufacturing or production. If the asset is used for less than 180 days, half of the additional depreciation is allowed in the year of installation and the remaining half in the next FY. The workbook handles both halves correctly.
Useful for
Statutory auditors verifying the depreciation schedule in financial statements; tax auditors preparing Form 3CD clause 18 & 19 disclosures; MSME clients without ERP-based fixed-asset modules; and anyone testing the deferred-tax-asset working at year-end.
Frequently asked questions
Does the workbook compute block-of-assets across multiple years?
The current version computes one FY at a time. For multi-year tracking with additions and deletions, carry forward the closing WDV as next year’s opening WDV — the formulas handle that sequence.
Is Ind AS 16 component accounting supported?
Not as a built-in feature. You would treat each component as a separate row with its own useful life under Companies Act, which the current sheet supports — you just repeat the calculation per component.
Are intangible assets covered?
Yes — the Rate Reference sheet has rows for Know-how, Patents, Copyrights, Trademarks, Licences, and Software, with the Sec 32 25 percent WDV rate and the 10-year useful life under Ind AS 38 where applicable.