depreciation on Industrial License
This query is : Resolved
05 April 2008
The company acquired industrial license from Govt to produce certain commodities. How to depreciates / amortised the license amount as there is no specific usage period. There is no specific rates in schedule XIV. Cost of License is in Lacs
08 April 2008
How did the licence aquire cost?
13 May 2008
The company acquired industrial license from Govt to produce certain commodities. How to depreciates / amortised the license amount as there is no specific usage period. There is no specific rates in schedule XIV. Cost of License is in Lacs
26 January 2009
Generally there will not be any charge for issue of licence. If you have spent on administration or prepartion of application or survey that becomes your operating expenses.
On the other hand if you have paid any licence fee to the government and have receipt stating the licence fee then the value should be amortised based on the estimated no. of years you can utilsie the licence. If no particular years of validity is there, depending on managment perception the benefit for the number of years to be utilised has to be arrived at.
On the other hand if you have paid any licence fee to the government and have receipt stating the licence fee then the value should be amortised based on the estimated no. of years you can utilsie the licence. If no particular years of validity is there, depending on managment perception the benefit for the number of years to be utilised has to be arrived at.
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 of fixed assets- coop housing society in mumbai
- TDS on Consultancy- Non DTAA
- Reopen of assessment proceeding
- Rental income gst and it purpose
- Management System (IMS)
- Condonation . E-Verification of last year return .
- Eway bill generation from place other than registeted
- FTS Taxable under 115A
- EPF FULL & FINAL RULES IN 2026
- COMMERCIAL INVOICE FOR MATERIAL AND FREIGHT
- Tax Audit u/s 44AB for Transport Business A proprietorship is engaged in transportation business and
- 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
