KAILASH A. DANGADE (ACCOUNTS & FINANCE MANAGER) (121 Points)
01 November 2012Hello All,
Organization withdrawn cash 1000 GBP from his EEFC GBP A/c for Foreign Tour Cash Exp.
Director finishes the tour & submitted cash Exp. but not submitted some of bills like local traveling & local Foods.
Can we put the expenses in accounts?
Can we put Exp. General Day basis allowance system, like 5 GBP for Foods for a day or 10 GBP for Local Travel Allowance?
Write us you’re Views on this.
Thanks
Kailash Dangade
Accounts Manager
Venkateswara Rao Sapare
(Accountant)
(1500 Points)
Replied 01 November 2012
Valid supportings are required. If supportings are void, the said expenses are not allowed.
Sometimes for local travel bills may not be available and no bills for food if purchased from street stalls..
In such cases, if the Company has travel policy or accomodation policy, the above expenses shall not exceed the prescribed limits.
Director shall prepare a signed statement regarding the expenses during foreign trip along with all available supportings and get sanctioned by the Managing Director or Executive Director or Board of Directors or Chairman of the Board.
In my opinion, the above may be enough.
Venkateswara Rao Sapare
(Accountant)
(1500 Points)
Replied 01 November 2012
Dear Friends
Who will frame the policy? It is not framed according to our requirements.
We are given this impression that it will be accepted, as long as it does not come to the notice of Revenue.
Has Revenue ever told us so? Please, help me to understand.
I also request you to read following section from the Companies Act, 1956
9. ACT TO OVERRIDE MEMORANDUM, ARTICLES, ETC
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