21 January 2011
For, Import Purchase accounting which date is relevant for accounting entry.
1. goods reached to the Port 2. Goods Reached to the ICD 3. Date on which Custom Duty Paid 4. Date on which Out of Charge order Received from the Custom Department
or 5. Goods reached to the importer's Godown.
Which day's Exchange rate we should consider for the accounting purpose??
23 January 2011
I am of the opinion that date of customs out of charge should be taken as date of import. There is no point in booking purchase based on bill entry date or the date on which cargo reached port or ICD. Cargo remains under customs custody untill Out of charge order is given by customs authority. As regards exchange rate, Customs Deptt. declares exchange rates for Import and Export every month. For whole of the month the exchange rate remains the same. It is advisable that while booking purchase, one should consider Exchange rate prevailant on the date of filing bill of entry. Customs deptt also take in to consideration date on which bill of entry is filed for the purpose of collection import duties. Please also consult your auditors for confirmation of above facts as myself is not a CA
24 January 2011
when ownership is considered to be transferred.
1. day on which custom duty paid or 2. day on whcih out or charge order received from customs department 3. day on which goods reached to the importer's godown.
When ownership is considered to be transferred in case import purchase of goods (inventory)
1. day on which cutom duty paid; or 2. day on which out of charge order received from customs department; or 3. day on which goods reached to the importer's godown.
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