The recently introduced Companies Act, 2013 marks the beginning of a new era, ushering in significant changes across various domains. One notable aspect is the expansion of the financial reporting spectrum, placing greater responsibilities on individuals involved in financial reporting, including auditors and management.

Key Inclusions:

- Introduction of the concept of useful life in contrast to the minimum rates of depreciation.

- Introduction of component accounting, voluntary from 2014-15 and mandatory from 2015-16 under the Companies Act, 2013.

- Transitional provisions due to the shift from minimum rates of depreciation to the concept of useful life.

- Treatment of plant and machinery up to Rs. 5,000.

- Amortization principles for intangible assets.

- Line-by-line comparison of effective depreciation rates under the Companies Act, 1956, and the Companies Act, 2013, utilizing both the Straight-Line Method (SLM) and the Written Down Value (WDV) Method.

- Analysis of the impact of changes in depreciation rates on various industries.

- Guidance on residual value determination.

- Detailed insights into a wide range of practical issues.

- Examination of other provisions in the Companies Act, 2013, related to depreciation.

- Inclusion of the text of Schedule XIV to the Companies Act, 1956, and Schedule II to the Companies Act, 2013, along with other useful annexures.

This resource provides comprehensive coverage of depreciation-related provisions under the Companies Act, 2013, offering practical guidance and insights for practitioners, auditors, and management personnel navigating the intricacies of financial reporting within the new regulatory framework.