Pre-operative expenses

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

02 June 2015 A service rendering company provides services to its Associated company, since the fees receivable from the associated company is on the condition that if loan is approve by bank then rendering company will receive the fees. In such a case how will the such expenses incurred be treated as pre-operative or as routine expenses?
plz reply its urgent

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

02 June 2015 Treat it as routine expenses.

Querist : Anonymous

Querist : Anonymous (Querist)

02 June 2015 can you provide logic or reason behind it as i need to expain to client so plzzzzzz

Querist : Anonymous

Querist : Anonymous (Querist)

02 June 2015 thanx a lot.can you provide logic or reason behind it as i need to expain to client so plzzzzzz

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

02 June 2015 Whether you receive the fees are not the expenditure is incurred which can't be deferred so charge it as routine expenditure.

Querist : Anonymous

Querist : Anonymous (Querist)

02 June 2015 Thank you so much sir

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

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Phani

Rasheed Mohd Abdul

shreesh acharya

Sagar Goyal

suresh kotte

Subscribe Now

Pre-operative expenses

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

GST CONSULTANCY

Manager- Finance and Compliance

CA Final

GST CONSULTANT

Accountant