capitalising the expenditure
This query is : Resolved
04 April 2009
Dear sir,
we are a private trust providing education to management students. we have taken the building for the class rooms on RENTAL basis. we (trust) restructured the building for the purpose of class rooms and toilets. Trust has incurred the expenditure for the restructuring the buillding Rs. 250000. Should the same should be capitalised or to be treated as the revenue expenditure. Please clarify at the earliest.
with regards,
R. Gurucharan.
we are a private trust providing education to management students. we have taken the building for the class rooms on RENTAL basis. we (trust) restructured the building for the purpose of class rooms and toilets. Trust has incurred the expenditure for the restructuring the buillding Rs. 250000. Should the same should be capitalised or to be treated as the revenue expenditure. Please clarify at the earliest.
with regards,
R. Gurucharan.
04 April 2009
THESE EXPENDITURE SHOULD BE TREATED AS REVENUE EXPENDITURE BECAUSE BUILDING HAS BEEN TAKEN OF RENT AND RESTRUCTER ONLY FACILATE THE ACTIVTY IT DOES NOT AMOUNT TO ADDITIONAL RESOURCE FROM WHICH YOU CAN EXPACT FUTURE ECO. BENFIT
04 April 2009
THESE EXPENDITURE SHOULD BE TREATED AS REVENUE EXPENDITURE BECAUSE BUILDING HAS BEEN TAKEN OF RENT AND RESTRUCTER ONLY FACILATE THE ACTIVTY IT DOES NOT AMOUNT TO ADDITIONAL RESOURCE FROM WHICH YOU CAN EXPACT FUTURE ECO. BENFIT
04 April 2009
its a revenue expenditure
05 April 2009
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
- Unregistered suppliers utility
- Difference between Date of Payment and Date of Deduction?
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- ITDS U/S.194T of Firm
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- ADDITION OF CHALLAN IN TDS RETURN FORM 140
- Cash balance limit and property purchases limit
- Journal entry of busniess expenses
- GST Rate for Catering Services
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
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
