EASYOFFICE
EASYOFFICE

Repayment of advance paid to purchase land

This query is : Resolved 
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
01 November 2013 A company paid to a landlord a sum of money for example 10 lakh to purchase his land. After few years dispute arise and repaid the advance with interest and compensation for example 15 lakhs. how it should be accounted it in compliance with Revised Schedule?
Profile Image

Ganeshbabu K

Profile Image

Ganeshbabu K (Expert)
01 November 2013 recognise as income in statement of profit and loss in note "Other Income"
.
.
it is indirect income hence you should not account it as revenue from operations
Profile Image

CA UMESH DULAL

Profile Image

CA UMESH DULAL (Expert)
01 November 2013 Treat the interest paid as expenses
Upgrade to CAclubindia Pro. Subscribe Now!


You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join CCI Pro
CAclubindia's WhatsApp Groups Link


Similar Resolved Queries


loading


Unanswered Queries


CCI Pro

Trending Online Classes

view all classess


Answer Query



Quick Links