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Software rent which expense head

A/c entries 3080 views 3 replies

My company has paid software rent for tally I want to know in what expenense head should I record it. 

Please suggest. 

Replies (3)

Renting a software is similar to payment of license renewal fees.

You can book under "Subscripttion Charges" or "License Renewal Charges" under Indirect Expenses.

Tip: Try searching for similar questions next time before you post it.

Infact, there is a similar question already answered on this forum.

https://www.caclubindia.com/forum/under-which-head-will-the-expense-on-renewal-of-software-be-classified--508750.asp

hope this helps

Dear Abhishek has your co taken the tally software on rent or co had purchased it. if taken on rent then it will go under rent, rates and taxes head.


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