banner_ad

Membership fees treatment

Others 2241 views 4 replies
My boss has got membership in cloth merchant association of india & He has paid Rs. 117000 as a life time membership so how to give treatment of it. Whether it is considered as a revenue expense & capital expense?? Can we claim depreciation on it?
Replies (4)

it is business expense and should show in debit side of profit and lost a/c

thanks samir sir for replying...its life time membership so how can we claim in single financial year. Please elobrate it more

Non-refundable  membership deposit should be shown as an intangible asset and amortised over the period of membership. In the case of corporate life membership, amortisation may exceed 10 years as there is persuasive evidence that benefits would flow even beyond that period. However, it would be prudent and conservative not to extend their life beyond 10 years for the purpose of amortization considering AS 26.

Sir,
if we receive membership fees for 25 years and giving free facility like GYM,Sports activites and one time free banquet for member.

how to make entries in tally.
and nature of trreatment?


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 15 May 2026
Audit Assistant / Article Trainee / Intern

SSGS and Associates

Chennai

CA Inter

View Details
Company
16 May 2026
Audit clerk

mgirt & co

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 15 May 2026
ARTICLE ASSISTANT, TRAINEE AND PAID ASSISTANT

YOGESH KAPOOR AND ASSOCIATES

New Delhi

B.Com

View Details
Company
04 June 2026
Semi Qualified CA

Goyal Puneet & Associates

New Delhi

CA Final

View Details
Company
22 May 2026
Sr. Financial Analyst - Consolidation

Search Synergy

Mumbai

CA

View Details
Company
22 May 2026
U.S. Financial Reporting & Consolidation Manager

Karia Overseas

Ahmedabad

CA

View Details
Company
29 May 2026
Accounts assistant

Shubh Consultancy

Mumbai

Graduate (Any)

View Details
Company
ARTICLESHIP 04 June 2026
Article

Rakhecha & Co.

New Delhi

CA Inter

View Details