Old Fixed Asset Sold the Returned Back
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
30 November 2010
Sir,
An old fixed asset whose WDV was equal to 5% of original value (no depreciation can be charged further) has been sold for profit and now returned back (rejected by buyer). what should be the treatment??
whether I increase original cost and accumulated depreciation or simply treat this return as new addition???
Also if I treat it as new addition, can I charge depreciation on it as it is new addition????
An old fixed asset whose WDV was equal to 5% of original value (no depreciation can be charged further) has been sold for profit and now returned back (rejected by buyer). what should be the treatment??
whether I increase original cost and accumulated depreciation or simply treat this return as new addition???
Also if I treat it as new addition, can I charge depreciation on it as it is new addition????
G.SARAVANA KANNAN
(Expert)
30 November 2010
Reverse the sales entry. keep the assets in original value, ie.,book value before such sale took place.
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
- Accounting treatment of AMC alongwith the purchase of Laptop
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Issuing of delivery challan by seller of goods
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Nursery business
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Tax on Amount transferred in HUF Account
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- 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
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
