## Rates of Depreciation (by Block)

### Intangibles

Patents, copyrights, trademarks, licences (non-goodwill) — 25%

### Buildings

Residential buildings (excluding hotels) — 5%
Non-residential buildings — 10%
40% block: buildings for water supply/treatment (on/after 1 Sep 2002); temporary structures (e.g., wooden)

### Furniture & Fittings

Furniture & electrical fittings (fans, wiring, sockets, etc.) — 10%

### Plant & Machinery

30% block:

Motor cars purchased 23.08.2019 – 31.03.2020
Buses, lorries, taxis used for hire
Moulds (rubber & plastic factories), semiconductor industry equipment

45% block:

Buses, lorries, taxis (purchased 23.08.2019 – 31.03.2020)

40% block:

Aeroplanes and engines
Pollution control (water/air), solid-waste equipment, containers
Life-saving medical equipment
Specified renewable energy devices: (a) electric vehicles (battery/fuel-cell); (b) windmills & devices running on windmills; (c) special devices incl. electric generators/pumps on wind energy (for b & c, installed on/after 1 April 2014)
Energy-saving devices
Computers, computer software, computer printers
Books owned by professionals (annual/non-annual) and books used in lending libraries

20% block:

Ocean-going ships, inland vessels, speed boats

15% block (general):

Renewable energy devices/windmills installed before 1 April 2014
Motor cars (general, non-electric)
Any other Plant & Machinery (residuary)

Worked example

### Example 1

Block classification: A company buys a general (non-electric) motor car, an office computer and a windmill installed in 2023. → Car: 15% block; computer: 40% block; windmill (installed after 1 Apr 2014): 40% block — each grouped into its respective rate block.

### Example 2

Higher rate for hire vehicles: Lorries used by a transport (hire) operator fall in the 30% P&M block, whereas a general business car is only 15%.

⚠️ Common exam mistakes

Putting computers/printers/software in the general 15% block — they attract 40%.
Mixing up windmills installed before vs after 1 April 2014 (15% vs 40%).
Using 15% for buses/lorries/taxis used for hire — they are in the 30% block.
Applying the special 30%/45% car rates outside the 23.08.2019–31.03.2020 purchase window.

Reference: Section 32; Appendix I to the Income-tax Rules — Income-tax Act, 1961

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Rates of Depreciation (Blocks)

Worked example

⚠️ Common exam mistakes