capital and revenue expenditure and receipts
This query is : Resolved
Dileep Chandra
(Querist)
04 June 2016
if repair cost is 25000 rupees white wash expenses are 5000 rupees cost of extension of building is 250000 rupees and cost of improvement in electrical wiring system is 19000 Rupees the amount to be expensed is ?
Amol S Joglekar
(Expert)
05 June 2016
The answer is from INCOME TAX point of view and not ACCOUNTANCY.
under Income Tax, if enduring benefits are not received by spending the amount, the same may be treated as REVENUE expenditure. Cost of extension of building would go to Capital Expenditure and the rest would be Revenue expenditure
under Income Tax, if enduring benefits are not received by spending the amount, the same may be treated as REVENUE expenditure. Cost of extension of building would go to Capital Expenditure and the rest would be Revenue expenditure
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
- TDS Challan - change of FY 2025-26 to TY 2026-27
- Gst registered proprietorship firm
- AUDITOR APPOINTMENT FOR THE YEAR ENDING MARCH 27
- Non filing of I T Returns
- UDIN ISSUE
- TDS on Fixed Assets purchased
- GST Intimation due to Government took possession of Business Premises under PPE Act
- TDS on purchase of under construction property from a reseller
- SALARY CAN BE CAPITALIZE
- GST on Renting godown to KFCSC for Storage of Raagi
- How to Handle Active E-Invoices in GST Portal Deleted from Tally?
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Starting trading business
- 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
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
