loss on sale of fixed asset what type loss it and if it is gain what type of gain it is(revenue or capital)
aditya m
(student)
(40 Points)
Replied 17 February 2016
but many of them told that in profit and loss we only charge revenue income and expenditure
I MIGHT BE WRONG !!
a. Any accounting standard does not say that u have to debit/credit revenue exp/incomes to profit and loss a/c
b. At year end, u will distribute dividen from only Profit and loss a/c...dont u think profit or loss from sale of fixed asset should be divided too ?
c. In income tax, Mostly Revenue expenditure is allowed as deduction...(there are some exceptions ofc)