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sale tax entry

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30 May 2010 Hi

My queary is that if Sale tax Authority realease any demand for sale tax paymet, Then how to account for this entry.Is this expenses is allowable expenses as per income tax ?

31 May 2010 These expenses will be normal business expenses and will be allowable in Income Tax. However, if Sales Tax authority has laid any penalty or penal interest. That will not be allowable deduction in income tax.

31 May 2010 sales tax paid DR

Bank/cash Cr

rest is replied by rishab mathur.


01 June 2010 Thanks



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