## Transfer of Movable Assets by Employer to Employee
When an employer sells/transfers a used asset to an employee at a price below its market value, the difference is a perquisite.
### Taxable Value
> Taxable Value = WDV of Asset – Consideration paid by employee
### Depreciation Method to Compute WDV
| Asset Type | Depreciation Rate & Method |
|---|---|
| Computer / Laptop | 50% p.a. on WDV (reducing balance) |
| Motor Car | 20% p.a. on WDV (reducing balance) |
| Other Assets (furniture, AC, etc.) | 10% p.a. on SLM (straight line) |
### Important Rule
Depreciation is allowed only for every completed year from the date of purchase by employer till the date of transfer to employee. Part of a year is ignored (no proportionate depreciation).