Preliminary expenses

Accountancy

How to disclose preliminary expense in Balance sheet?

Kamal Kumar

CA Inter

★ 7K+

21-Feb-23 12:58

739

Answers (3)

Cannot be disclosed. To be written off

CA Suraj Lakhotia

Admin

21-Feb-23 13:22

CA Suraj Lakhotia Admin

Cannot be disclosed. To be written off

But when we start company we incur non op-expense(roc fees,advocate fees etc) then where I can show? Because if it is capital nature can i capitalised as per As 10 or if not disclose in PL a/c

Thread Starter

Kamal Kumar

CA Inter

★ 7K+

21-Feb-23 14:11

CA Suraj Lakhotia Admin

Cannot be disclosed. To be written off

These expenses will be written off and expensed in the P&L. AS - 26 / Ind As 38 do not permit capitalisation of such expenses.

CA Suraj Lakhotia

Admin

21-Feb-23 14:19