10 June 2021
Sir, It assess ledger balance as on 31-03-2021(20-21) in accounting books parties details mentioned below Cash loan from creditor balance rs:5 lacs Cash loan to debtor balance rs:6 lacs. Assess creditor balance amount rs:5 lacs transferred to debtor balance account Contra entry passed in books in f.y.21-22. Question: Above transactions allowed in it act and sec 269ss and sec 269t provisions applicable.
10 June 2021
Query is a bit confusing! 1) Have you received cash of Rs.5 lacs from creditors? 2) Similarly, have you paid cash of Rs.6 lacs to debtors? Book adjustment is not a contra entry.
CAclubindia
