08 September 2014
Please Explain the treatment of Preliminary and Pre-Operative Expenses as Per Companies act Income tax Act and AS-29 Is DTA/DTL is created? And if in 1st only 1/5 is written off in books as per Income Tax and forgot to claim 100% as per Companies Act and no DTA/DTL created than what treatment has to be done in subsquent period
08 September 2014
But as per companiest Act 100% write off in first year. In Subsequent years preliminary Expenses disallowed by Income Tax Authorities
08 September 2014
But Practicaly I face the problem that in Intimation U/d Section 143(1) disallow the same and Annual reports are submitted as per Companies Act and not as per Income tax Act and only differents between two's are done in Computation of Income Tax return
08 September 2014
What I want to know is that, as per Companies Act what is the treatment done for Preliminary Expenses because the Companies Act says we have to write off 100% in 1st year and Income Tax Act 1/5. Is the treatment of it is as same as Depreciation(DTA/DTL)
08 September 2014
Thanks for your Suggestion Mam. I have one more query about this is that what treatment I have to do if I forgot to calculate DTA in first year due to non Claim of 100% expenses in Company's Books
CAclubindia
