Dhamodharan (Article Assistant) (51 Points)
12 June 2013Reapected Sir,
An Assessee has doing Trading Motar Vechicle Business in Since 2004. Previous year He Opened Two New Branches in some other places. He Taking Lease Building and he incurr some of Expenses to Renovate the shop. Wheather I want to know Which kind of Expenses Should be Treated as Revenue Expenditure and Capital Expenditure. please Suggest some other Case Laws.
Thaking you,
Dhamu
vikas
(student )
(139 Points)
Replied 01 July 2013
if any one of the following condition fulfill than renovation expenses treated as capital expenditure and capitalised in cost of building and depreciation charged on above
1. increase the life of assetes.
2. reduced the per unit cost of product.
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