25 April 2011
Dear Expert Good day and greeting As we are manufacturer of corrugated boxes . When we are sending goods to our customers some time they reporting shortage of goods , this may be either due to counting mistake or goods sold by drivers during transit . My queries is that either we can show this as loss in transit or goods pilfered in transit as debtors are ,making payment after making adjustment for the same . Is it is admissible expanses as per Income Tax Act . Further sometime goods were rejected on ground of inferior quality how we accounting for that . Your valuable advise on the above mentioned matter will be highly appreciated by me
26 April 2011
Dear Ravi And how we should account for goods rejected due to inferior quality . We are neither receiving goods nor getting payment for the same .
CAclubindia
