Expenditure incurred by reliance jio
vaibhav (student) (253 Points)
25 January 2017vaibhav (student) (253 Points)
25 January 2017
Tony John
(Chartered Accountant)
(6085 Points)
Replied 25 January 2017
The company can claim expenditure of capital nature incurred to obtain licence to operate telecommunication services u/s 35ABB of the Income Tax Act. Such expenditure is allowed as a deduction over the period for which the license remains effective. There is a copndition that payment should have actually been made.
If the expenditure is incurred before the commencement of business, then deduction would be allowed from the year of commencement of the business.