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8.7 Protocol for Asset management
Asset purchased under the project shall be classified under asset block as specified by department of income tax. Assets purchased in a financial year under each block not exceeding Rs 10,000 can be written off in the same year.
8.7.1 Asset permitted to be purchased under the project
A PIA can purchase the following assets without EC approval:
a) The assets given below even if asset block value exceeds Rs10,000 in a financial year:
i. Bio metric equipment
ii. Fire extinguisher
iii. CCTV camera and recording apparatus
iv. Computers, printer, scanner and copier for office use
v. Projector
vi. Training centre furniture for academic and non-academic areas e.g. – chairs, table, almirah, racks
vii. Water dispenser
viii. First aid kits
ix. Tablet computers for candidates
x. Digital camera
b) Any asset/s whose block value does not exceed Rs 10,000 in a financial year
PIAs need not specify such assets in their project applications submitted to MoRD.
8.7.2 Assets requiring EC approval
All assets other than those specified above should be approved by EC of SRLM/MoRD. Assets to be purchased should preferably be included in the application and considered by EC at the time of project sanction.
For category A and B where tablet computer cost is approved by EC, it has to be procured as per procedure of chapter 4.
8.7.3 Depreciation and amortization
Depreciation and amortization shall be charged as per the rates specified by the Income Tax Act, 1961 as amended from time to time.
8.7.4 Disposal of assets
All assets, other than the Tablet computers, purchased under the project shall be taken over by the PIA on its residual value[1] before the closure financial audit. The residual value, if any, will be adjusted against instalments due or through a recovery, as the case maybe. However, for disposal of tablet computers PIA may choose option to follow the procedure specified in “SI 8.7A: Procedures for procurement, accounting, distribution and disposal of tablet computers”, in this chapter.