Sale of cwip
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
24 April 2013
Hi,
As we all know after completion of Project we transfer cost from CWIP to Respective Asset head.
what if before completion of that project I sale it from CWIP?
will it consider as Normal Sale?
or
Sale of Fixed Assets
Can anyone tell me exact accounting treatment for this?
Thank you.
As we all know after completion of Project we transfer cost from CWIP to Respective Asset head.
what if before completion of that project I sale it from CWIP?
will it consider as Normal Sale?
or
Sale of Fixed Assets
Can anyone tell me exact accounting treatment for this?
Thank you.
RAJU S NARAYANAN
(Expert)
25 April 2013
even in this case, you have to transfer from CWIP to asset account where the name of asset will be different.
19 May 2013
You cannot sale CWIP it can be transferred. If your are transferring CWIP then total consideration minus the cost is to be treated as business income. But after completion of the project you are selling this then it is always better to capitalize CWIP to various assets and then sale the assets and not CWIP
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
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Tax on Amount transferred in HUF Account
- Nursery business
- GST input credit on commercial property
- GST REFUND ISSUE ON PURCHASE OF PLANT AND MACHINERY
- Working on Gold wastage during Melting of old gold jewellery
- TDS on Dashcam rent and allied services
- Import Order Cancelled.
- HOW TO ADJUST CREDIT NOTE AMOUNT ?
- ETDS return q4 25-26
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
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
