S. M. Desai (CONSULTANT) (84 Points)
05 November 2009Dear All,
"X' company has prepared commercial and excise invoice on 30.10.2009 for export consignment and bill of lading will be prepared, 10-15 days later from the date of invoice. In this case, "X" company needs to show goods in transit till the preparation of bill of lading and sales will be booked on the date of bill of lading, what will be accounting entry in this case and what is the correct method of accounting goods in transit?
Thanks & Regards,
S. Desai
Ram Avtar Singh
(Nagari Sultanpur U.P.Delhi)
(14497 Points)
Replied 05 November 2009
when excise bill issued entery will made in Book at same time and stock will reduce.
mallela.ravikiran
(learner)
(136 Points)
Replied 05 November 2009
this is the JV
Goods in Transit A/c Dr
To Closing Stock A/c
Deepak Jain
(CA Final Student)
(514 Points)
Replied 07 November 2009
Agreed till the bill of lading is not recieved the entry for sales can not passed in books.
Pankaj Gandhi Jaiswal
(Chartered Accountant)
(2629 Points)
Replied 16 December 2009
Hi
I am also agree that bill of entry should be final date, but some expert says another thing, what will be the date is still debatable, if any one can guide it will be benificial, but in my view since all risk is transferred when final custom clearance made hence date of entry shall be last date
Singh SR
(GM Finance)
(28 Points)
Replied 16 April 2011
BL is not the criteria for recording of accounting entry and export sales shall be deemed to be completed at the point when goods are delivered to transporter and loaded in containers, ARE is signed by the company and excise / custom authorities. Issuance of BL may be even after one month and that is not the sole criteria for recording goods in transit rather it is export sales.
vaseem
(Tax Consultant)
(76 Points)
Replied 26 April 2011
if u want to pass the enty it will be
Goods in transit ac dr 0000
to cost of goods sold 0000
Perumalla B
(CWA)
(56 Points)
Replied 06 May 2011
Entry:
Goods in Transit Dr
To Closing stock of Goods in Transit
(Goods in transit would be grouped in CA
Closing stock of Goods in transit should be grouped in P&L Exp)
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 07 May 2011
| Originally posted by : S. M. Desai | ||
 |
Dear All, "X' company has prepared commercial and excise invoice on 30.10.2009 for export consignment and bill of lading will be prepared, 10-15 days later from the date of invoice. In this case, "X" company needs to show goods in transit till the preparation of bill of lading and sales will be booked on the date of bill of lading, what will be accounting entry in this case and what is the correct method of accounting goods in transit? Thanks & Regards, S. Desai |
 |
under excise supervision when eport invoice and ARE1 is issued, the sales is booked,
passage upto the port of export may be time taking, but sales is booked in excise records, and bill of landing is actual date of export.
in excise returns the sale is to be considered on date of excise clearence from factory, and usually u have to book export sales on the same date, however if u book export sales in commercial accounting then make a note in narration with reference date and ARE1 sl no.
Goods in transit does not considered in this case unless the books are closed for the accounting year, and usually if such things happens at end of year, then the seller try to book the export sales in the year of clearence from factory only,
JS Bhambra
(Accountant)
(24 Points)
Replied 13 April 2021
Hello, I have received goods in April 2021 against March purchase bill and the gst input also received in March-21, Please suggest the accounting entry in books for claim the input in same year, (Purchase in transit, stock in transit, etc)
CAclubindia
