Oweners association and society assets

Depreciation amount calculations as usual. but amount bifurcation according to the date of tranfer of the properties. 

Sir.. thanks for the reply.. Can the handover document with the annexure lisiting all the capital items to the association be considered as transfer of those assets??.. so does that mean from the date of the handover, the NBV of the asset has to be considered as cost in society books and can claim depreciation.. 

thanks

Calculation of depreciation is always on the cost of the asset. The number of days to be consider in that calculations for the year.

In which State and which city is your Society? Flat are owned by the flat owners and depending on the history of formation of the Society there may or may not be registered transfer deeds with stamp duty paid for individual flats. In any case there will be stamp duty whenever a flat is transferred to a new member. Besides the flats, there will be common areas and facilities. Who owns them? The members have undivided ownership of the common areas etc. In RWA I think the W stands for "Welfare". In other words the Association is only a service association to render services to the members. The ownership of the facilities still vest in the members only and the Association only gives services without owning anything. Many States have ownership flats acts. If you register under that Act then ownership of common areas will vest in the Association.

What for do you want to claim depreciation? Is it for Income Tax purposes? Then better you check with the income-tax department. If you run your Association on costs reimbursment by the members basis, then  all your internal income (collection from members) will be exempt from income tax. Only external income such as bank interest, collections from outsiders if you allow outsiders to use your club-house etc. will be taxable. Taxation of co-operative housing societies and of clubs with exclusive memberships are done in this manner.

Please note that I am neither a lawyer nor a chartered accountant. Hence whatever I state here are without engagement.