Reconciliation on Foreign Travel Advance accounting entries
This query is : Resolved
10 November 2008
Hi all,
Correct accounting treatment on foreign travel advance accounting entries and the reason behind it?
Correct accounting treatment on foreign travel advance accounting entries and the reason behind it?
11 November 2008
Travel advance
To bank/cash
(Accounted in INR, for we would have purchased the currency)
The travel is accounted as soon as the travelling person submits accounts which has to be within a reasonable time.
If any currency is returned(!)
Bank Dr.
To Travel advance (INR)
the entry on the reverse is passed to the extent of return.
Accounting for loss or gain also takes place to the extent of return being the exchange difference with reference to the date at the time of advance.
To bank/cash
(Accounted in INR, for we would have purchased the currency)
The travel is accounted as soon as the travelling person submits accounts which has to be within a reasonable time.
If any currency is returned(!)
Bank Dr.
To Travel advance (INR)
the entry on the reverse is passed to the extent of return.
Accounting for loss or gain also takes place to the extent of return being the exchange difference with reference to the date at the time of advance.
13 November 2008
Hi Sir,
Thank you for your reply but still I have a query regarding further on this. How do you analyze fully as a Schedule VI Reconciliation item as Foreign travel advance + Expenses + Forex Difference.
Thank you for your reply but still I have a query regarding further on this. How do you analyze fully as a Schedule VI Reconciliation item as Foreign travel advance + Expenses + Forex Difference.
14 November 2008
Hi Experts,
How do you analyze fully as a Schedule VI Reconciliation item for Foreign travel advance + Expenses + Forex Difference.
How do you analyze fully as a Schedule VI Reconciliation item for Foreign travel advance + Expenses + Forex Difference.
15 November 2008
Adv to employee ($100*Rs.50) (Advance take * Exchage rate as on that date)
To Bank
Expense A/c ($75*Rs.50) (Assuming $75 used)
To Adv to employee
Bank A/c ($25*51) (Assume Rs.51 as exchange rate while surrendering unused advance to forex dealer)
To Adv to employee ($25*Rs.50)
To FOrex gain ($25*Rs.1) [Rs.1 is 51-50 ie exchage difference]
Hope u understood
To Bank
Expense A/c ($75*Rs.50) (Assuming $75 used)
To Adv to employee
Bank A/c ($25*51) (Assume Rs.51 as exchange rate while surrendering unused advance to forex dealer)
To Adv to employee ($25*Rs.50)
To FOrex gain ($25*Rs.1) [Rs.1 is 51-50 ie exchage difference]
Hope u understood
16 November 2008
Hi Deepak,
I have understood the analysis behind this explanation. Thanks a lot, your inputs are really encouraging to know in a better way and facilitates to understand to learn in a more clearer manner.
Sincere thanks to you and CA CLUB experts, members and all of those who contribute to this site regularly.
I have understood the analysis behind this explanation. Thanks a lot, your inputs are really encouraging to know in a better way and facilitates to understand to learn in a more clearer manner.
Sincere thanks to you and CA CLUB experts, members and all of those who contribute to this site regularly.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- GST on export of services and Input Credit
- ITC temporary reversal and reclaim
- Applicable TDS rate for sale of property in Nov 2024
- Inventory of finished goods
- Should I report my US salary for January, February, March in Schedule FA?
- GST ON EXPORT COMMISSION
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- Confusion around Form 26QB fields
- Adjustment entry in the case of Individual and HUF on 31st March
- Stock difference tax applicable on composite rate or normal rate
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
