Hello Every body
My doubt is -
In a pvt. ltd. company,
they have sold a generator for 1.75 lakhs during the year 2010-11.
As per companies act, the generator was clubbed under the head plant & machinery and its WDV as on the date of sale (after depreciation for the period upto date of sale) comes to 5.82 lakhs and individually WDV of generator (after depreciation for the period upto date of sale) comes to Rs.2.89 lakhs.
Do they have to realise loss on sale of generator in their books of accounts....?
There is no need to show capital loss in STI as block of assets exists after sale of generator.
CAclubindia
