A Asseessee had 'TATA Ace mini' Rs. 256,800 at the time of AY 2013-14. It sold Rs. 145800 on AY 2014-15. But, he did not remove in his balance sheet. Now, I preparing AY 2016-17 accounts for IT purpose. He told, TATA Ace is not in my hand'. My Questions are, How to I Show this in Balance sheet and Income Tax ITR4...? How to maintain this Asset's loss amount...?
10 January 2017
For accounting and presenting in Balance sheet.. Remove the assets from fixed assets in AY16-17. Loss after claiming depn if any will be presented as prior period item in profit and loss account.
For income tax return, revise the return of A 14-15 and in tax audit 3cd disclose it as prior period item.
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