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Depreciation calculator as per Schedule II of the Companies Act
Enter what the asset cost and the day it was put to use. Pick the asset type for its Schedule II useful life, choose straight-line or written down value, and get the book value on any date with a schedule for every financial year.
Book value on —
—
Depreciation per full year
₹23,750
Total over 3 years
₹71,250
| Financial year | Days | Opening | Depreciation | Closing |
|---|---|---|---|---|
| FY 2025–26 | 182 | ₹75,000 | ₹11,842 | ₹63,158 |
| FY 2026–27 | 365 | ₹63,158 | ₹23,750 | ₹39,408 |
| FY 2027–28 | 366 | ₹39,408 | ₹23,750 | ₹15,658 |
| FY 2028–29 | 183 | ₹15,658 | ₹11,908 | ₹3,750 |
Rounded to the rupee for display. The CSV keeps paise.
How the numbers are worked out
Straight-line (SLM) spreads cost minus residual value evenly over the useful life. Written down value (WDV) applies a fixed rate to the opening value each year, with the rate chosen so the value reaches the residual at the end of the useful life: rate = 1 − (residual ÷ cost)^(1 ÷ life).
The first year is pro rata: only the days from the date put to use until 31 March count. The last year stops at the residual value.
Useful lives in Schedule II
Schedule II, Part C gives useful lives such as 3 years for end-user computers (desktops and laptops), 6 years for servers and networks, 5 years for office equipment and 10 years for furniture and fittings. A company may use a different life or residual value if it can justify it, and must disclose that in its accounts.
Companies Act is not the same as income tax
This calculator follows the Companies Act. Depreciation under the Income-tax Act works on blocks of assets at its own rates (for example 40% for computers), so the tax figure will differ. Your accountant’s books are the final word; use this for planning and checking.
Book value for every asset, on any date
AssetVow keeps cost and purchase date on every asset and shows straight-line book values for the whole register as of any date, with useful lives per category and a CSV for your accountant.
See how it works in AssetVowFAQ
Common questions
What is the useful life of a laptop as per Schedule II?+
Three years, as an end-user device under “Computers and data processing units”. Servers and networks have six years.
What residual value should I use?+
Schedule II says the residual value should not normally be more than 5% of the original cost, so 5% is the usual choice. A higher value needs justification and disclosure.
How is depreciation calculated for an asset bought in the middle of the year?+
Pro rata for the days it was in use. A laptop put to use on 1 October gets 182 of 365 days of depreciation in its first financial year.
Should I use SLM or WDV?+
Schedule II allows both. Straight-line gives the same charge every year; WDV charges more in the early years. Use the method your company already uses for that class of assets.
Does it give income-tax depreciation?+
No. Income-tax depreciation works on blocks of assets with different rates. Use this for the Companies Act figure only.
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