Capitalisation of fixed asset in case of rented premises
This query is : Resolved
06 August 2014
Restaurant under Trust
1. Installation charges paid towards installation of a fixed assets on a rented premises will also be capitalised or not.
-Control Panel - Rs. 106000/-
-Installation Charges* - Rs 60,000/-
*Installation Charges include all boards, plugs, wire etc. total wiring of restaurant was changed and connected with control panel.
-CCTV - Rs. 50000/-
- wiring etc. - Rs. 29000/-
06 August 2014
You can capitalized the same if it falls on the fixed assets category. Rented or self owned building/land will not have effect on nature of assets.
06 August 2014
But during the time of charging depreciation, this fact should be taken into consideration
1. If this assets are to be abandon at the time of vacating the building, then it has to be considered in determining the useful life of assets.
2. If you will get fair price for the assets at the time of vacating the building, such value should be considered as Scrap Value.
1. If this assets are to be abandon at the time of vacating the building, then it has to be considered in determining the useful life of assets.
2. If you will get fair price for the assets at the time of vacating the building, such value should be considered as Scrap Value.
07 August 2014
you can take as assets and capitalized and make depreciation .
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
- Post Office RD Interest
- CG Tax On residential property
- Applicable TDS for Purchase of Flat from NRI
- Building and other construction workers welfare cess act 1996
- Eway bill for machinery reparing
- Bank Accounts in Balance Sheet for ITR 3
- ITR 3 FILING OF AN INDIVIDUAL (PARTNER IN A PARTNERSHIP fIRM)
- NRI ITR2 account in 2025-26 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,.
- Form 10BD Filling
- Annual return of gst limit
- Gift of mutual fund units to daughter
- ESIC- Employee Registration
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
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
