incorporation exp

Dear Prateek,

GOODWILL CANNOT BE RECOGNISED IN THIS MANNER.

INCORPORATION EXPENSES DOES NOT CONSTITUES GOODWILL

INCORPORATION EXPENSES CAN BE REIMBURSED TO PROMOTERS AND AGAINST THAT MONEY SHARES CAN BE ISSUED TO THEM BUT IT CAN NEVER BE TREATED AS GOODWILL..

INCORPORATION EXPENSES CAN WRITTEN OFF IN BOOKS OVER A PERIOD AND SO LONG NOT WRITTEN OFF IT WILL COME UNDER "MISC. EXPENDITURE"

And incorporation Exp can be write off as create preliminary exp A/c from the books.....