Preliminary expenditure
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
27 August 2010
A company was incorporated in 2005 and had incurred preliminary expenditure of Rs.50,000.This amount was shown in the balance sheet of that year as preliminary expenditure.The company had not commenced its business.It now wishes to file its returns under Company Law Settlement Scheme for the years 2006-2010.Can u please suggest how to write off this preliminary expenditure i.e.whether it can be written off fully in 2006 or propotionately each year?
27 August 2010
Dear Friend
First of all preliminary expenses are shown in the first Board meeting after incorporation of Company. The Board may decide the amortization period and it will be shown in Balance Sheet under Miscellaneous Expenses Head and also shown in Noted to Accounts.
Regards
CS Ajay Mishra
First of all preliminary expenses are shown in the first Board meeting after incorporation of Company. The Board may decide the amortization period and it will be shown in Balance Sheet under Miscellaneous Expenses Head and also shown in Noted to Accounts.
Regards
CS Ajay Mishra
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
- Unregistered suppliers utility
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- Difference between Date of Payment and Date of Deduction?
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- URGENT-Eligible leaves being shown as 24 days for 3 years Articleship instead of 156 days in 108
- Journal entry of busniess expenses
- EXPORT COMMERCIAL INVOICE HSN CODE
- Need Professional Opinion - AY 2012-13 Old Demand & AY 2026-27 Refund Adjustment
- ITR 4 and Bank transactions
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
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
