Insurance exp paid at the time of pur of fa

This query is : Resolved

Report Abuse Follow Query Ask a Query

Querist : Anonymous

Querist : Anonymous (Querist)

09 December 2015 whether it is capitalized or book as exp

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
Follow

10 December 2015 It will be capitalised at the time of purchase, further renewals can be consider as expenses

Querist : Anonymous

Querist : Anonymous (Querist)

10 December 2015 bill of fixed asset was of 31/3/2015.but not taken in last year now we have to entered on 01/4/15.and sir insurance policy is taken on 06/5/15 still it will cap?

Upgrade to CAclubindia Pro. Subscribe Now!

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
Follow

10 December 2015 Incase insurance policy taken along with purchase of asset you can capitalise, if the policy taken after purchase and installation then you can consider as normal expenses

Querist : Anonymous

Querist : Anonymous (Querist)

10 December 2015 fixed asset is car.so installation question not arise what now have to see.?

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
Follow

10 December 2015 Incase Car, you need to capitalise the insurance even in different date also