Purchase of licensed software

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

06 November 2009 Dear Sirs,

Does purchase of licensed software come under ASSETS? If so, is depreciation allowed on that?

If they do not come under assets? can they be treated as business expenditure?

Kindly let me know.

Regards,

Rajesh

haridhayalan

haridhayalan (Expert)
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06 November 2009 as per my knowledge, purchase of licenced software may be the expenditure. Not under the Asset. Asset means, have to depreciate. Depreciation on visible asset only. (Ex.Goodwill). even i have the same doubt. expecting the solvation from experienced senior experts.