26 December 2008
Dear sir, i am working in a non profit organisation as a accountant actually we receive grant from govt and we have to relese to talukas . i am maintaining in tally so i have taken in as direct income which grant recive and what i relese to taluk taken in current assets as advance is it correct when i get utlization certificate from talukas i will pass the jouranl entry to indirect exp ... i have to preapre only Receipt & Payment thats all so plz help
28 November 2009
Hey Amaresh its not correct. When you received from the govt its your liability because you need to distribute the income . So it will be your current liability. In case of Receipt and payment its fine. because receipt and payment have no relationship with cash flow
CAclubindia
