03 July 2014
First of all its P&L Account and not accountant.
Provisions r created to meet future expenses. It is just like for example say u save money to buy books and u purchase books after say 5 years so expenses is incurred after 5 years but u kept aside a decent amount which will help u in future to meet the expenses.
Same is in deduction case. If u incurred an expenditure then u r eligible to claim it.
First clear that Provision is not is not is not is not is not an EXPENDITURE. Plz dont mind that repetition is for u to get the thing.
Suppose u have Rs. 50/- and u kept it for future expenditure. (Read again it is "FUTURE EXPENDITURE"). And ur money is with u. It is just a savings and not expense. So u will easily buy the book after 5 years.
Till now if u have a problem then u may call at 8282803100( or whatts app)
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