Capitalisation of part of the premises (Partly constructed)
This query is : Open
03 March 2010
A company is in the process of contructing building of 20 floors. And 5 floors are almost completed and ready for its intended use.
My query is :-
1) can we do the partiall capitalisation for these 5 floors.?
2) Is there is any specific provision for the same in the Accounting standard?
3) If yes then what should be the basis for allocating the cost for these 5 floors?
My query is :-
1) can we do the partiall capitalisation for these 5 floors.?
2) Is there is any specific provision for the same in the Accounting standard?
3) If yes then what should be the basis for allocating the cost for these 5 floors?
03 March 2010
What is the purpose for which the building is being built? Is it for creating an asset for the company or for real estate business? Depending on your answers u can decide to capitalise.AS10 issued by ICAI to be followed
03 March 2010
It will be used by the company fot its own use. And the company is in existence from the last 10 years. it is planning to relocate to the new premises.
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
- Fixe term employment
- Is any professional CA is here please reply
- GST ITC REVERSE
- RCM ISSUE ON RENT AND TRANSPORTATION CHARGES
- Foreign lottery ticket bought online from India: legality, tax and consequences
- Putting a heading on received mail
- Gift Received from nonblood relative
- Tax Audit u/s 44AB for Transport Business A proprietorship is engaged in transportation business and
- Reprocessing of rectification order AY 2025-26
- Section 50-fixed asset-->building ceases to exist
- Consolidated financials
- 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
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
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
