Statutory Depreciation Rates & Schedule

Official statutory rates of depreciation for all 10 prescribed asset blocks under the Written Down Value (WDV) method under Section 33 of the Income-tax Act, 2025 (Section 32 of the 1961 Act). Incorporates the 180-Day Put-to-Use rule (50% normal rate) and 20% Additional Manufacturing Depreciation.

SEC 33 / SEC 32 WDV•FY 2026-27 Active
All Tax Rates
Prescribed Asset Blocks
10 Blocks
Buildings to Intangibles
WDV Rate Range
5% to 40%
Written Down Value Method
Additional Manufacturing Dep.
20% Flat
Sec 33(1) / Sec 32(1)(iia)
Put-to-Use Cut-off
< 180 Days
50% Rate on Oct 4+ additions
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Statutory Asset Blocks & Prescribed WDV Depreciation Rates

Statutory Table under Section 33 of Income-tax Act, 2025 vs Section 32 of 1961 Act.

10 Asset Blocks
Section 33 Table (Block 1)Prev: Section 32 (Block 1)

Buildings (Residential other than hotels and boarding houses)

Normal WDV Rate (≥180d)5%
< 180 Days (Half Rate)2.5%

Written Down Value (WDV) method applied on block of assets.

Section 33 Table (Block 2)Prev: Section 32 (Block 2)

Buildings (Offices, Commercial, Factories, Godowns, Hotels, Boarding Houses)

Normal WDV Rate (≥180d)10%
< 180 Days (Half Rate)5.0%

Standard rate for all commercial premises.

Section 33 Table (Block 3)Prev: Section 32 (Block 3)

Purely Temporary Erections / Wooden Structures

Normal WDV Rate (≥180d)40%
< 180 Days (Half Rate)20.0%

Short-lived structures.

Section 33 Table (Block 4)Prev: Section 32 (Block 4)

Furniture and Fittings (Including electrical fittings)

Normal WDV Rate (≥180d)10%
< 180 Days (Half Rate)5.0%

General rate across all commercial establishments.

Section 33 Table (Block 5)Prev: Section 32 (Block 5)

Plant & Machinery (General rate for all industrial equipment)

Normal WDV Rate (≥180d)15%
< 180 Days (Half Rate)7.5%
Eligible for 20% Additional Manufacturing Dep.

Eligible for additional depreciation @ 20% for new manufacturing equipment put to use.

Section 33 Table (Block 6)Prev: Section 32 (Block 6)

Motor Cars used in business (Other than running on hire)

Normal WDV Rate (≥180d)15%
< 180 Days (Half Rate)7.5%

Commercial utility vehicles.

Section 33 Table (Block 7)Prev: Section 32 (Block 7)

Commercial Motor Buses, Lorries, and Taxis used in running on hire

Normal WDV Rate (≥180d)30%
< 180 Days (Half Rate)15.0%

Higher rate for transport service providers.

Section 33 Table (Block 8)Prev: Section 32 (Block 8)

Computers, Laptops, Servers, Printers, and System Software

Normal WDV Rate (≥180d)40%
< 180 Days (Half Rate)20.0%

High-tech assets and electronic data processing systems.

Section 33 Table (Block 9)Prev: Section 32 (Block 9)

Renewable Energy Devices (Solar, Windmills) & Pollution Control Equipment

Normal WDV Rate (≥180d)40%
< 180 Days (Half Rate)20.0%

Statutory green energy incentive block.

Section 33 Table (Block 10)Prev: Section 32 (Block 10)

Intangible Assets (Know-how, Patents, Copyrights, Trademarks, Licenses, Franchises)

Normal WDV Rate (≥180d)25%
< 180 Days (Half Rate)12.5%

Acquired commercial intangible intellectual property.

Interactive 5-Year WDV Schedule Simulator

Block WDV Method
Section 33(1) / 32(1)(iia) Additional Depreciation @ 20%Available for new plant/machinery acquired by manufacturing entities. (20% in Year 1)
PeriodOpening WDV (₹)Normal DepAddl. Dep (20%)Total Dep. (₹)Closing WDV (₹)
Year 1 (TY 2026-7)₹10,00,000₹1,50,000 (15.0%)₹2,00,000₹3,50,000₹6,50,000
Year 2 (TY 2027-8)₹6,50,000₹97,500 (15.0%)-₹97,500₹5,52,500
Year 3 (TY 2028-9)₹5,52,500₹82,875 (15.0%)-₹82,875₹4,69,625
Year 4 (TY 2029-10)₹4,69,625₹70,444 (15.0%)-₹70,444₹3,99,181
Year 5 (TY 20210-11)₹3,99,181₹59,877 (15.0%)-₹59,877₹3,39,304
Acquisition Cost₹10,00,000
Cumulative 5-Yr Dep.₹6,60,696 (66.1%)
WDV after Year 5₹3,39,304

Key Statutory Principles

180-Day Put-to-Use Proviso

If an asset is acquired and put to use for less than 180 days in the previous year (on or after 4th October), depreciation is restricted to 50% of the prescribed rate.

Companies Act vs Tax WDV (Deferred Tax)

Companies Act, 2013 Schedule II prescribes depreciation based on useful life (SLM/WDV), whereas the Income-tax Act mandates Block of Assets (WDV). The timing difference creates Deferred Tax Assets/Liabilities (AS 22 / Ind AS 12).

Ineligible Assets for Additional Dep.

Second-hand machinery, office appliances, road transport vehicles, or plant installed in guest houses/residential accommodation are ineligible.

Fixed Asset Advisory

FAR Reconciliation, Asset Tagging & Deferred Tax Provisioning

Our audit teams construct statutory Fixed Asset Registers (FAR), conduct physical tagging verifications, and formulate AS 22 / Ind AS 12 deferred tax schedules for institutional clients.

Taxorion Advisory Serviices Statutory Framework