Please Help: Definition of Plant & Machinery
Posted Date : 10-Mar-2014 , 12:05:45 pm | Posted By shreyans kothari
What does plant and machinery constitute for a Builders & Construction company? Can their land be treated as their plant & machinery? If yes, why, if no why..
Category : Income Tax | Answers : 0 | Comments : 2 | Hits : 250
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CA Rajnish
12-Mar-2014 , 11:43:58 amI think capital assets(plant and machinery) used for generating revenue income and never transfer to other while land will transferred to its residents,it may be stock of builder but not P&M
Aman singhal
12-Mar-2014 , 02:27:03 pmPlant & Mc are the fixed assets which are held to be used in the ordinary course of business but not for selling purpose. however, since land in your case is held to be used for construction of building or for sale in ordinary course of business, so it is stock.