19 August 2020
KINDLY ANSWER ME THE FOLLOWING: 1) WILL AMOUNT OF TDS (CURRENT ASSETS IN BALANCE SHEET) AND ADVANCE TAX (ADVANCE IN BALANCE SHEET) DEDUCTABL FROM CAPITAL FUND IN BALANCE SHEET? 2) LIC POLICY WAS TAKEN ON 17.06.2016 OF SA 100000/- WHOSE YEARLY PREMIUM IS 1700/- . FOR THE F.Y. 2019-20 IT IS INVESTMENT IN BALANCE SHEET AND DEDUCTABLE FROM CAPITAL FUND ACCOUNT. WILL I TAKE PREMIUM PAID FOR THE YEAR 2016,2017 AND 2018 IN DEPOSIT ACCOUNT (1700*3=5100/-) OR SUM ASSURED WILL HAVE TO TAKE IN DEPOSIT A/C IN BALANCE SHEET FOR THE A.Y. 2020-21?
26 September 2021
1. Its transferred to income tax provision. For individuals, you can debit it to capital account. 2. If at all required to show the LIC policy in BS, declare Sum Assured along with bonus declared, if any.
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