07 May 2015
AS PER CO. ACT 2013 FOR THE ASSET WHOSE LIFE IS NIL ON 01-04-2014 WE SHOULD CHARGE THE WHOLE AMOUNT EXCEPT 5% OF ORIGINAL COST OF ASSET TO RETAINED EARNINGS. NOW MY QUESTION IS WHAT WILL BE THE EFFECT ON DTA/DTL IS THE AMOUNT THAT IS CHARGED TO RETAINED EARNINGS IS A PERMANENT DIFFERENCE. PLZ CLEAR IT WITH AN EXAMPLE.
CAclubindia
