accounts
This query is : Resolved
chiranjeevi
(Querist)
09 July 2010
can i take plywood used for making racks in cloth manf, as capital asset,
can i take invoice date as capitalization date, asset came after invoice date
can i take invoice date as capitalization date, asset came after invoice date
Rahul Gupta
(Expert)
09 July 2010
Yes. Plywood Racks are used for making racks for putting inventory of your business. You can capitalize it as Furniture and Fittings.
Further for date of capitalization, since plywood solely won't comprise any asset. The asset (wooden racks) will be ready only when it gets manufactured by using the plywood and racks are ready for use. So the capitalization date will be the date when the racks are ready to use.
Further for date of capitalization, since plywood solely won't comprise any asset. The asset (wooden racks) will be ready only when it gets manufactured by using the plywood and racks are ready for use. So the capitalization date will be the date when the racks are ready to use.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Capital Gail Exemption Certificate
- Taxation of crypto futures in India Fy 2026- 2027
- EPF ECR NEW RULES Sep 17th 2026
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Issuing of delivery challan by seller of goods
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
