Revenue or Capital expenditure
This query is : Resolved
hitesh sharma
(Querist)
22 April 2009
If a company made some expenditure on making a new cabin in the companeies premises then what will be the nature of this expenditue capital or revenue????/
Taranjit Singh
(Expert)
22 April 2009
If the cabin is made new and furnished first time, then it will be capitalised. Add fiuniture, AC etc. in their proper head for depreciation.
Message likes :
1 times
22 April 2009
agree with expert
taxindiaconnect
(Expert)
01 May 2009
Dear, the basic concept for capitalizing any expenditure or charging off to P & L Account, is whether the new assets has come in existence or not by incurring the expenditure. Your query clarifies that a new cabin has been erected with in the factory premises, it is a new assets, the expenditure incurred is capital in nature.
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
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- "Please ensure that the Total of the Deductions u/s 54F match the same in Table D in Sch CG"
- Need to correct "Whether it is last installment " response in Form 26 QB
- " Income from House Property " in joint names of co-owners
- REGARDING TDS RETURN OF FORM 27Q
- Notice under e-Verification Scheme
- GST demand notice for ITC reversal against exempted supply.
- RCM ON SECURITY CHARGES FROM INDIVIDUALS
- How to get money back from delisted company
- ITC not to be taken in accounts & GSTR-3B
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
