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
- Showing Gift from relative in ITR for this year
- ITR selection for salaries and capital gain less than L
- Share accounting-->fifo - capital gain - period as per fifo?
- ITR filing- non tax audit cases- Asstt.Year 2026-2027
- Soyabean hsn code and gst rate
- Treatment of Pension ?annuity returns on PMVY
- NON- SUBMISSION OF LLP FORM 3
- Last year TDS Claim
- AY 26-27 ITR-4 FILING U/S 44-ADA
- Plot of land. Cost of Acquisition
- Gst invoice numbering and delivery challan numbering
- Standard Deduction claim for EPFO Pension and ICICI Prudential Life Annuity
- Small dealers gst returns filing
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
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
