TAX IMPLICATIONS ON SOFTWARE PURCHASE
This query is : Resolved
14 June 2011
OUR CLIENT HAS PURCHASED A SOFTWARE ON WHICH MAHARASHTRA SALES TAX AND SERVICE TAX IS CHARGED
PLS TEELL THE TAX IMPLICATIONS OF THE ABOVE PURCHASE OF SOFTWARE
PLS TEELL THE TAX IMPLICATIONS OF THE ABOVE PURCHASE OF SOFTWARE
ABHISEK TOSNIWAL
(Expert)
14 June 2011
In your case you have to capitalise the purchse amount of software as per AS 26.If you do not avail any input credit for sales tax and service tax, then you need to capitalise the software for the full amount including taxes.
Regards
Abhisek Tosniwal
Regards
Abhisek Tosniwal
Message likes :
1 times
14 June 2011
and while making the payment for the above software should we make the full payment ???
ABHISEK TOSNIWAL
(Expert)
14 June 2011
Yes,When you need to make the full payment,then only you can capitalise the full amount.
Message likes :
1 times
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
- Accounting treatment of AMC alongwith the purchase of Laptop
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Issuing of delivery challan by seller of goods
- Nursery business
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Tax on Amount transferred in HUF Account
- 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
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
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
