accounting treatment

elango rk (accountant) (55 Points)

07 August 2008

For a Private Ltd Coy
How should I write-off a prior prd TDS(Debit)(Rs.93000) made on 31.05.2005.
Option :-
A) whether tr.to Reserves & Surplus A/c.
Or
b) treating as an Prior prd item and keep in profit & loss a/c.

Suggest me the experts.

urgent.

Option :-

A) whether tr.to Reserves & Surplus A/c.

b) treating as an Prior prd item and keep in profit & loss a/c.

Suggest me the experts.

urgent.

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2 Replies

(Guest)

You should not tr this amount in Reserve & Surplus or Profit & Loss A/c.

I think this amount was excess paid to IT dept and you will get back from them in future so show this amount in Assets as Advance Tax Paid.

or If this is non refundable nature tax then just put in the P/L a/c under Tax paid (Duties & Taxes)

girish mangla (practice) (206 Points)
Replied 08 August 2008

Originally posted by :elango rk
"	For a Private Ltd Coy How should I write-off a prior prd TDS(Debit)(Rs.93000) made on 31.05.2005. Option :- A) whether tr.to Reserves & Surplus A/c. Or b) treating as an Prior prd item and keep in profit & loss a/c. Suggest me the experts. urgent. Option :- A) whether tr.to Reserves & Surplus A/c. Or b) treating as an Prior prd item and keep in profit & loss a/c. Suggest me the experts. urgent.	"