revenue or capital loss

hello sir,

 

Q1. if a machine which has become obosolete is sold at 6 year while its estimated useful life is 8 year. why it is treated as revenue loss???

 

q2.  if a machine which purchased yday and was sold today at a price less than its purchase price.??? will it be revenue or capital loss ???

q3. If a piece of land belonging to the factory is sold at profit. will it be treated as capital profit or revenue profit.

 

please state the reason for the above mentioned question

 

Replies (2)

In financial accounts, profit or loss on sale of any asset of the organisation is treated as revenue. It is in Income tax where we categorize them into capital loss and revenue loss. There is no way in financial accounts to account capital and revenue losses separately. Hope i am clear. Any more doubts???

i agree with saranraj

 

thank you


shankarchitupolu

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 19 August 2026
Chartered Accountant

apricus india

Pune

CA

View Details
Company
ARTICLESHIP 24 August 2026
Article Assistant

M/s.S.G.Salecha & Co.

Mumbai

CA Inter

View Details
Company
21 August 2026
Finance Manager

Resollect Technologies Pvt Ltd

Mumbai

CA

View Details
Company
29 August 2026
Chartered Accountant

Velionit Consulting PVT LTd

Mumbai

CA

View Details
Company
17 August 2026
Chartered Accountant with US GAAP Experience

Austin Med Solutions Pvt Ltd

Bengaluru

CA

View Details
Company
28 August 2026
Assistant Manager

NRS AND ASSOCIATES

Kozhikode

CA Inter

View Details
Company
ARTICLESHIP 17 August 2026
Article Assistant

Jain Ankit and Co

Gurgaon

CA Inter

View Details
Company
04 September 2026
CA inter Or ca finalist

A Jaiswal and company

Lucknow

CA Final

View Details