First of all, you will have to see whether there is advance tax apprearing for that assessment year in the balance sheet side, If it is there, then you will have to reduce your advance tax. If you have already written off earlier then it will be income for you.
25 April 2012
Dear all experts... I am still stuck with the same query .. please tell me simple and suitable solution to pass an entry in tally for tax refund.I want to know the under which group should I create a ledger of income tax refund... I have seen same query already posted in CCI but the answer was different according to the solution the entry should be... bank/cash a/c dr to x's capital a/c now I'm confused why to credit the capital a/c when the refunded amount has been deposited into my SB a/c ... please please tell me the proper solution. thanks !
CAclubindia
