Office Renovation expenses

This query is : Resolved 

Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
10 May 2011 Dear Experts,

A limited Co.(unlisted)renovates and furnisehes its godown , office and shop. It shows several expenses such as purchase of cement, bricks, iron rods, etc.. in cash. The clarification The co. provides is that they are non credit item which are unrelated to it business directly. On the other hand the Co. says how can they believe such shop and pay the paymant by cheque in advance( delivery on clearance of cheque).

Is the expense allowed and can be capitalised ?

Thnx in adv

11 May 2011 ITS EXPENSES CAN BE ADDED ON CAPITALISED OR PRELIMINARY EXPENSES

Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
11 May 2011 Thnx for ur valuable opinion but one more thing U would like to add to my query is: If the Co has paid in cash for more than Rs. 20000/- thru single payment, is it allowed even if we capitalise the expense?


11 May 2011 its depend on which product purchases. and its treated to preliminery exp. devide 5 yrs thr exp.



You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join CCI Pro
CAclubindia's WhatsApp Groups Link


Similar Resolved Queries


loading


Unanswered Queries