What is the accounting treatment for the following :
Expenses incurred upto commencement of business such as rent etc - should it be treated as a pre-liminary expenses and w/off for 5 years as per sec 35D ??
The expenses upto incorporation stage needs to be w/off for 5 years which is known to me as per IT Act, 1961
but is the pre-operative expense referred above should be given same treatment ?? Kindly clarify...
Kindly mention the a/cing treatmet which needs to be passed in Co's books and to be considered in IT Act,1961.
CAclubindia
