05 April 2014
suppose in a new co.for machine installation foreigners came for setting the machine and they stay in hotel so hotel expenses are capitalise or not ? one thing it is a new company.
05 April 2014
Hotel expenses would be capitalized. . The Concept : . If the installation of the machinery was not required; the expenditure was also not required to incur. . It means the expenditure is related to the machinery....not to run the business...hence it is a capital expenditure.
Querist :
Anonymous
Querist :
Anonymous
(Querist)
05 April 2014
ok sir but if some one is appointing for whole co as a observer then what is the treatment for hotel expens?