banner_ad

treatment of land purchased at lease

This query is : Resolved 
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
23 January 2011 if i bought a land for 90 yrs of lease whether it should be treated as fixed asset in books or treatment should be different.
Profile Image

Vivek Raju P

Profile Image

Vivek Raju P (Expert)
23 January 2011 Land is never a finance lease unless title passes to the lessee at the end of the lease term.

It still has to be considered as an operating lease. Cannot be capitalised in your books.
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
23 January 2011 then Mr vivek what should be the treatment for a real estate company who took it on lease and going to construct residential flats on it for sale.
Profile Image

Manoj Sachdeva

Profile Image

Manoj Sachdeva (Expert)
23 January 2011 In the Books of the LESSEES :Finance Leases are to be recognised as asset and liabilities at amounts equal to the fair value of the leased property
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news


Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
14 May 2026
Senior Associate

ABHISHEK SHANKAR AGARWAL & ASSOCIATES

Kolkata

CA

View Details
Company
29 May 2026
Finance Head

Bhawar Sales Corporation

Chennai

Graduate (Any)

View Details
Company
01 June 2026
Audit, Taxation & Compliance Executive

R P S K & Associates

Nashik

CA Inter

View Details
Company
26 May 2026
Education Content Creator

Adyayam Education LLP

Bengaluru

CA Foundation

View Details
Company
22 May 2026
U.S. Financial Reporting & Consolidation Manager

Karia Overseas

Ahmedabad

CA

View Details
Company
14 May 2026
Senior Accounts Executive

Karan Gupta & Co.

New Delhi

Graduate (Any)

View Details
Company
19 May 2026
Accountant

ca kunjan

Mumbai

CA Inter

View Details
Company
24 May 2026
Accounts & Tax Executive

PARAS KHURANA AND CO

New Delhi

B.Com

View Details