Hi All, Our client had given a portion of his premises for development to third party. In that premises- some buildings are available. As per the agreement with him, they have to vacate within 1 year from the date of agreement. Then they demolish the buildings and construct the plots. So now my query is whether we have to revise the useful life of buildings to 1 year and depreciate fully based on that life or is any special treatment is there for buildings given up for development to third party? Please suggest.
Regards
Sudharsan P
CAclubindia
