22 October 2008
we bought tally accounting software for 38000 , here my question is , in which head i need to account , is it under asset or as expenditure .further if we paid input tax on the asset , i need to consider input tax is part of asset. pls forward your reply to uvbr@rediffmail.com
22 October 2008
In appendix 1 of rule 5 of income tax rules,1962 item III (5) SAYS COMPUTER INCLUDES SOFTWARE. If that view is considered you can capitalize and depreciate @60%.
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