Capex projects, CWIP ageing and capitalisation — under control
Long-gestation projects, large CWIP balances and the Schedule III ageing auditors now demand. AssetOS tracks every project from first expenditure to capitalisation.
Long-gestation projects sit in CWIP for years. Auditors want Schedule III ageing and evidence of what's overdue or over budget — usually reconstructed manually each quarter.
Track every project with budget and target dates, then generate CWIP ageing (Schedule III), ageing detail, movement and a capitalisation register on demand — with overdue and over-budget flags surfaced.
₹214 Cr sat in capital work-in-progress, of which ₹38 Cr related to projects older than three years — but the accounts carried no CWIP ageing as required by the amended Schedule III. A commercial block had been occupied and generating rent for eleven months before it was capitalised, so depreciation was understated. The auditor moved an emphasis of matter to a qualified opinion on CWIP disclosure and delayed capitalisation. In parallel, the assessing officer disallowed depreciation on assets he held were not 'put to use' in the year claimed, opening a ₹1.7 Cr dispute.
Every project was loaded with its expenditure, budget and target date; put-to-use dates were tracked so ready assets were capitalised on time; and CWIP ageing, movement and a capitalisation register were generated straight from the data.
Schedule III CWIP ageing was disclosed in full, the delayed capitalisation was corrected with the right depreciation catch-up, and dated put-to-use evidence substantially strengthened the company's position in the depreciation dispute.
Case study is an illustrative, composite scenario based on common real-world situations; the company name is anonymised and figures are representative.
Go deeper on the platform
The same register drives depreciation, insurance and reporting for every industry.
See AssetOS set up for your world
Tell us how you account for assets today and we'll show you the register, engines and reports mapped to your industry.