electricity expenses

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

15 September 2010 in which account shold amount paid for new connection of electricity & amt paid for load increase be accounted ?
Are these admissible expenses?

CMA. Subhash Kumar Jha

CMA. Subhash Kumar Jha (Expert)
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15 September 2010 These all will go under electricity expenses itself, there should not be any separate categorization for this.

Message likes : 1 times

CA. Praveen Narayan

CA. Praveen Narayan (Expert)
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15 September 2010 Yes, they are allowable expenses as electricity expense incurred for the purpose business..

If they are not refundable, it shd b treatd as revenue expns and if it s refundable, treat it as asset..

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