A R&D center of a company is under construction, but still R&D is in operation. Now day to day exp'd on R&D related to staff welfare, rent of temporary office in which R&D is in operation etc. will be booked in books of company as an exp. or will be taken CWIP.
As per my knowledge any expense relating to a site which is under construction should be capitalised by putting all the related expenses under the head "CWIP building" (i.e, Construction work in progress A/C). When the building is completed it will be trasfered to the concerned head.
CAclubindia
