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pre-operative expenses

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Querist : Anonymous (Querist)
27 September 2010 what is the treatment of pre-operative expenditure with support of any AS, Guidancenote or Sch. VI
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CA Shailesh Kumar Bhagat

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CA Shailesh Kumar Bhagat (Expert)
28 September 2010 Aoccuning Standard 10, 11, 16 are the related AS for pre operative expenses. Pre operative expenses are capitalized, Till the date of assets are ready for opeartion.If the assets are ready all the expenses will be charged to P/L.

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