Treatment of capital subsidy as per revised schedule vi

This query is : Resolved

CA Sanjay Baheti (Querist)
Follow

12 June 2014 Dear Experts,

One of my client being a Pvt Ltd Co has engaged in manufacturing activities. The company has already commenced commercial production in F.Y.2012-13. Now during year 2013-14 the company has received Rs.15.00 Lacs as Capital Subsidy from DIC. Now query is with regard its treatment as per Revised Scedule VI Balance Sheet as per Companies Act that is whether such subsidy has to be separately shown under grouping "Reserves And Surplus" as Capital Subsidy Account or the same may be reduced from Plant & Machinery block of Fixed Asset for the purposes of computing Depreciation as per Companies Act for the year under audit.

Please give reply with cited case law also as per I.T.Act for computing Depreciation as per I.T.Act.

CA UMESH DULAL

CA UMESH DULAL (Expert)
Follow

12 June 2014 reduce the sum of capital subsidy from cost of assets and charge depreciation on remaining balance.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

vinod

sandhya.v

Suneel Shah

NICKOONJ VANANI

CA.K.RAMAKRISHNA. PRABHU

Subscribe Now

Treatment of capital subsidy as per revised schedule vi

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

CA Final

Article Assistant

Accountant

GST CONSULTANT

GST CONSULTANCY