Accounting and Taxation treatment of Interest on borrowings, Foreign exchange fluctuations related to acquisition of Fixed Assets and their Deferred Tax impact

Accounting and Taxation treatment of Interest on borrowings, Foreign exchange fluctuations related to acquisition of Fixed Assets and their Deferred Tax impact

In this discussion, we would understand the accounting and taxation treatment of foreign exchange fluctuations and interest on funds borrowed for acquisition of capital assets. We will analyse the provisions of relevant Accounting Standards and the provisions of Income Tax Law along with the Deferred Tax impact of differences between both the provisions.
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