20 July 2024
We as an Pvt Ltd Company. Initially our Insurance Broker have paid to Insurance Company Premium. Then after Insurance broker is claiming from us and we pay to Insurance Company. In this case we are not paying directly to Insurance Company. We are received invoice from insurance company.
Please Suggest Correct Account Entry 1 or 2 below as per Income Tax and Company Law: ________________________________ 1.
(A) Insurance Exp Dr To Insurance Company A/c Cr
(B) Insurance Broker A/c DR To Bank A/c Cr
(C) Insurance Company A/c Dr To Insurance Broker A/c Cr __________________________ 2.
(A) Insurance Exp Dr To Insurance Company A/c Cr
(B) Insurance Company A/c Dr (No Matter payment is process to Insurance Broker) To Bank A/c Cr
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