Domain name and Trademark

[Tan Chun Huat]

Hi,

Understand that domain name and trademark falls under Intangible asset. So for these two, FRS 38 will apply?

Anything that i should take note of when performing the accounting entries?

Thanks.

 

[Fidget]

FRS 38? What is this standard you speak of?

 

[Yash]

FRS 38? What is this standard you speak of?

Hi,

Understand that domain name and trademark falls under Intangible asset. So for these two, FRS 38 will apply?

Anything that i should take note of when performing the accounting entries?

Thanks.

did you mean IAS 38?

 

[Tan Chun Huat]

did you mean IAS 38?

Yes IAS 38. For trademark, do i value the trademark on balance sheet based on the costs to register the trademark?

 

[Yash]

Yes, Trademarks, Patents, Copyrights, Licenses Etc., are posted to a/c Intangible assets in Non Current or Current assets depending upon their economic life. The Amortization costs are added to P&L finance costs.

 

[Tan Chun Huat]

So legal fees, registration fees in getting trademark registered can be capitalised.

Any other costs incurred can be capitalised?

 

[Yash]

It says yes here https://www.investopedia.com/exam-guide/cfa-level-1/assets/capitalizing-intangible-assets.asp