Pre operative exp., Income Tax

[aishwarya gupta]

In income tax preoperative exp. can either be capitallsed to fixed asset and claimed as depreciation, or claimed as deduction in the year in which business commences.
A Company capitalised pre operative exp. under the head Miscellaneous expnditure and did not claim anything in ITR for many years. Now when the matter came to notice, can the co. claim full deduction of such exp. in current year?

Posts / Replies

[MARIAPPAN GOVINDARAJAN]

Have you got clarified in the above issue? If not please inform me.