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Tax tratment of Preoperative and preliminary expenaes

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(Querist)
24 May 2016 I have private limited co, after 3 years dont started any business activity, and all exp chargeed to preoperative and preliminary exp under the head other current assets...they filed nil return till last previous year,...my question is whether it is possible to charge all preliminary and preooerative exp in profit and loss account and book as loss eventhough my business activity not started till this year also...what is tax treatment
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Rupesh Jain

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Rupesh Jain (Expert)
25 May 2016 preoperative exp will claim as exp. in P/l and preliminery exp w/o 20% every year. not carry in b/s .
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CA R SEETHARAMAN

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CA R SEETHARAMAN (Expert)
25 May 2016 Charge all preliminary and preoperative exp to P & L ac and book loss. File the return and carry over the loss to be set off in future.
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Deepika Mevadi

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Deepika Mevadi (Querist)
25 May 2016 loss set off available for that
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Rupesh Jain

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Rupesh Jain (Expert)
25 May 2016 preoperative exp will claim as exp. in P/l and preliminery exp w/o 20% every year. not carry in b/s .
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Neeraj Sharma

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Neeraj Sharma (Expert)
28 May 2016 these are fictitious items hense these should be charge to PL . according to taxation 1/5 amount deductible as an expense..
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