Giridhar S Karandikar
(Team Lead)
(7548 Points)
Replied 27 April 2015
If the deposit received for the purpose of the business of the company and if it is NON REFUNDABLE, the same would have been already taxed in the year of receipt since in case of Income tax, all non refundable deposits received are treated as income / expense in the year of receipt / payment.
Check out the previous period's Income tax returns and confirm whether the same has been offered for tax. If it is the case, then you can take that amount as Income in the books. But kindly check the details of the party from whom u received the deposit and confirm the existence of that party before taking to income. This may serve as a back up for your treatment.
Venugopal
(B.Com)
(67 Points)
Replied 29 April 2015
CAclubindia
