24 May 2010
One of my Client has several unsecured loans. The interest for which has been calculated @ 18% PA & credited to the party's a/c on 31 March 09. The interest has been paid to the party on 18 Aug 09.
My question is: Can interest be calculated for the period April 1, 2009 to August 18, 2009, on the interest credited to the a/c last year & paid this year?
24 May 2010
As per information the interest become due on 31.03.2009 of the year 2008-09 but it was paid on 18th Aug,2009 and it is become the liability on 31.03.2009 and interest is always payable on watever be the amount payable therefore interest become payable like loan as on 31.03.2009 so interest can be paid out on that much amount if u were asking with keeping any law in mind then it may be different so pls clarify for which purpose u were asking,,is it only accounting purpose
CAclubindia
