Question ID : 20841

Impairment

A company has impaired some of its Plant and Machinery as per applicable Accounting Standard. Such impaired amount (WDV of the asset as per books on that date) is written off as impaired as per profit and loss account. Is this impaired amount allowable as expenditure under Income Tax Act? Under Income Tax, the P & M Block continues with other assets as there are other plant and machineries. Let know if the impaired amount is allowable expenditure under IT Act.

Post Your Answer

Please login to post your answer.