Is residential house an investment or a fixed asset?

A/c entries 2121 views 1 replies

yashsr

2285 Points Joined April 2011

Is residential house an investment or a fixed asset? And what about stamp duty and other registration charges? Are they to be added to the cost or expensed out?

Replies (1)

Patel Dhaval

Audit article

79 Points Joined February 2011

You can show it as investment or Fixed Asset. But if you show it as Fixed Asset, you cannot claim depreciation on such asset. Besides, costs such as stamp duty, Registration Fees and other incidental costs are to be added to actual cost of asset.