banner_ad

Accounting treatment of Depreciation and TDS

This query is : Resolved 
Profile Image

Profile Image

(Querist)
21 July 2008 Can any body help me out for the following:

'A' is the Private Company has got Sub Contract for some work from the Main Contractor 'B".

For Executing the work The Main Contractor supplied some Plant & Machinery which is Purchased by the Main Contractor.

After Completion of the Work( Say after 5 years) all the Plant & Machinery will become the Subcontractor's (i.e A) Assets, for this The Main Contractor Deducting Principal and Interest amounts from the Running bills raised by the Subcontractor.

here are some observations:-

1). The Invoices of the Plant & Machinery which is supplied by the Main Contractor still in the name of the Main Contractor.

2). The Ownership of the Assets also not transferred

My query is :-

What is the Accountability treatment of Principal and Interest Payments and what about the applicability of the Depreciation.

Whether any TDS will Applicable for the above transactions.
Profile Image

Taranjit Singh

Profile Image

Taranjit Singh (Expert)
04 October 2009 Hello.... Is this an old query still pending? Please send me a PM if yes..
Profile Image

Taranjit Singh

Profile Image

Taranjit Singh (Expert)
04 October 2009 Hello.... Is this an old query still pending? Please send me a PM if yes..
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news



Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
Featured 26 May 2026
Account Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
14 May 2026
Senior Associate

ABHISHEK SHANKAR AGARWAL & ASSOCIATES

Kolkata

CA

View Details
Company
21 May 2026
Associate

PWC

Kolkata

CA

View Details
Company
06 May 2026
Account Assistant / Article Clerk

V.K. Ranjan & Co(Chartered Accountants)

New Delhi

B.Com

View Details
Company
14 May 2026
ICSI Trainees for 21 Months and Semi-Qualified CS

CMNITY HIRE

New Delhi

Others

View Details
Company
24 May 2026
Accounts & Tax Executive

PARAS KHURANA AND CO

New Delhi

B.Com

View Details
Company
26 May 2026
Audit executive

vdsr & co LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 15 May 2026
Audit Assistant / Article Trainee / Intern

SSGS and Associates

Chennai

CA Inter

View Details