Asset was booked and creditors was created on 10/08/2016.
Depreciation was claimed on asset for 31/03/2017 , 31/03/2018 and 31/03/2019.
Now on 01/02/2020 it is decided that as per the contract terms and conditions no need to do payment to the above creditor
Now what should do of the WDV of Fixed Asset and depreciation already claimed ?
What is the income tax implications of this?
Hitesn
I doubt
creditors if u don't pay any input claimed on account of gst will have to be paid back as output tax..
2.you hv to convince your creditors...
3. sec 41 there is a clause..
any liabilities not paid can be added back as income.
depreciation claimed on assets is a different aspect...
CAclubindia
