https://www.taxtmi.com/forum/issue?id=111649 Capitalisation requires costs to be held in an Asset under Construction/Work in Progress account and capitalised only when project milestones, engineer inspection or completion evidence show the asset is ready for intended use. Initial costs that are directly attributable-including acquisition, installation, commissioning, allocated direct labour, overheads and borrowing costs-are capitalised until ready for use; subsequent costs are expensed unless they extend useful life, materially improve performance, or replace a major component. Organisational policies and applicable accounting standards must guide consistent treatment and tax credit interactions must be avoided to prevent double benefits. en-us Sat, 18 Mar 2017 13:47:17 +0530 Thu, 23 Jan 2025 15:55:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=111649 Capitalisation requires costs to be held in an Asset under Construction/Work in Progress account and capitalised only when project milestones, engineer inspection or completion evidence show the asset is ready for intended use. Initial costs that are directly attributable-including acquisition, installation, commissioning, allocated direct labour, overheads and borrowing costs-are capitalised until ready for use; subsequent costs are expensed unless they extend useful life, materially improve performance, or replace a major component. Organisational policies and applicable accounting standards must guide consistent treatment and tax credit interactions must be avoided to prevent double benefits. Discussion-Forum Companies Law Sat, 18 Mar 2017 13:47:17 +0530 https://www.taxtmi.com/forum/issue?id=111649