Accounting standard - 26

AS 718 views 2 replies

Dear Friends,

I want to know that whether "Accounting Package & Expenditure on Site Development"  covered by AS-26 Accounting For Intangible Assets and whatwill be treatment in the books of accounts.

Replies (2)

Yes (Expenditure on Site Development) the same has been cover under AS 26 and the Devlopment expeniture can be capitalised..!!

Expenditure on computer software is covered under Indian Accounting Standard 26 (Presume site development cost doesnot means physical site development such as demolition of existing building etc.) which includes development of prototype, testing etc. All expenses from Intial development to bringing the software to operation should be capitalised, but except  expenses like Training and re-organising, preliminary expenses such as legal and secretarial costs, expenditure to open new facility or expenditure, Research and Development expenses etc.


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