fixasset

Save Share

This query is : Resolved

survesh (Querist)
Follow

21 June 2010 Dear Sir,

A prop firm has purchased Mould Machine:

Mould Machine : 2090000.00
Excise : 209000.00
Ed Cess : 5000.00
CST 2% against C Form 49000.00

Total Payable : 2353000.00

What entry should I Pass for Booking Fix Asset. The Firm is Manuf. he pays Vat,Cst,Servicetax.

Can he get benefit of Excise Duty & CST Duty or all the Amount should be capitalized.He Had paid 27000.00 Transportation & 11000.00 Installation Charges.Please give me the perfect Idea & entry and logic to be used.

Thanks & Regards

nilesh kshirsagar

nilesh kshirsagar (Expert)
Follow

21 June 2010 As Firm is not Registered in Excise

You have to capitalised MV+excise+Cess+Trasportaton Charges+ installation charges
cst goes to Separate Ladger
and credit to Party

Machine A/c ---Dr ( Mv+excise+cess+transport
+installation
Cst A/c ------Dr

To Party A/c

Rahul

Rahul (Expert)
Follow

21 June 2010 Machine A/c dr ( Include CST and Installantion cost )
Excise Recoverable( Including Cess)-50% dr
Excise Deferred ( Includeing Cess )-50% dr

To Party

nilesh kshirsagar

nilesh kshirsagar (Expert)
Follow

21 June 2010 mr Rahul If party is not registered in excise then how they will dr to excise ??????

Rahul

Rahul (Expert)
Follow

22 June 2010 Mr Nilesh can u please tell me where in the given facts, it is written that the firm is not registered in Excise.

nilesh kshirsagar

nilesh kshirsagar (Expert)
Follow

23 June 2010 My Friend Rahul
Servesh in his query saying that the firm is mfg.
paying only vat .cst and service tax hence it is very clear that it is not in Excise

Rahul

Rahul (Expert)
Follow

23 June 2010 Any good reason you have Mr. Nilesh for not paying the excise duty.
It may be possible that he had not stated full facts.

nilesh kshirsagar

nilesh kshirsagar (Expert)
Follow

24 June 2010 after all we have to take into consideration what exactly written in query and share our knowledge

Nilesh K-Sagar

K-Sagar Management Consultant

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now