Revenue Recognition
This query is : Resolved
29 April 2010
The electricity company has charged higher amount for electricity for number of years. The high court has given decision in favour of company i.e. customer to give back the excess money collected in some installment within some years. So, electricity co. required to give refund for number of years. Then how to recognise this revenue. Company should recognise whole amount in single year or over a number of year.
29 April 2010
if you have claimed the excess amt paid as an expense then it will credit to P&L thus will add to income and will be taxable
29 April 2010
questions not clear but as per i know this questions.
Electricity company want to refund the excess money collected earlier years.
So when ecxess money collected its trf to General reserve so now this refund also adhusted with genral reserve not in pl a/c
Electricity company want to refund the excess money collected earlier years.
So when ecxess money collected its trf to General reserve so now this refund also adhusted with genral reserve not in pl a/c
29 April 2010
My view, the refund from the department is previously claimed as expenses in the last year. so you can show as other income in the P&l a/c
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- Applicable TDS rate for sale of property in Nov 2024
- Inventory of finished goods
- Sale of property furniture sale
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- RCM INVOICING FROM NOV-2024
- Confusion around Form 26QB fields
- TDS under section and rate of TDS
- GST input on scooter purchased
- TDS under section 194Q and TCS under section 206C
- GST input on car insurance and repairs
- GST input on Diwali gift to employee
- GST input on Mobile Handset
- Material and freight in same invoice
- TDS under section 194J inclusive of reimbursement of expenses
- TDS on Material and Labour in same invoice
- Should I be worried about and rectify reporting Jan,Feb ,March 2024 foreign salary in schedule FA?
Trending Online Classes
CAclubindia
