25 February 2010
please give me repaly early -if capital asset purchase in cash is allowed as business expense or not? and secondly depreciation on such assets is allowed or not? -dipti
25 February 2010
Capital Assset should always be capitalised irrespective of the mode of payment (cash or kind), it wont be allowed as an expense. Yes, u can claim depriciation on asset once u have capitalised it.
CAclubindia
