AUDITOR VINOTHKUMAR (a) (870 Points)
15 July 2012Dear Expert,
i have one client who is doing biz. of mobile recharges as a distributor.
He Purchase Recharges from co. and give retailers for that he will get commission from the company
my question is whether purchase and sale of recharges considered for turnover or not.
thanks advance
Karan Teli
(Life Is just an Illusion...!!)
(4573 Points)
Replied 15 July 2012
see, since u r asking question for turn over then u shud consider the reciepts in comm, form and compute his income. purchase n sale cannot be accounted for turn over and all.
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 18 July 2012
if the company issue him sale invoice/ receive payment from him ,and in turn he issue sale invoice to his clients and receive payments from them for such invoice, then surely its part of turnover.
CAclubindia
