what accounting entry we wiil do for goods receivd as free sample but we paying custom n freight charges for this......plz do rply fast
Sheetal Metha
(Article Assistant)
(208 Points)
Replied 10 September 2010
you have to pass entry for the amount paid towards custom duty and frieght
For taking goods into stock u can pass the purchase entry for NIL amount.
Dinesh Kumar Agarwal
(Article clerk)
(117 Points)
Replied 14 September 2010
As u are receiving sample material as free of cost the value is nil. but customs paid on goods and if no credit will available for this u may Debit the
purchase A/c Dr. (Custom duty)
To, Bank A/c (Custom duty).
For freight charges, freight inwards A/c Dr.
Service tax of freight A/c Dr.(in case specified person)
TO Transorter/cash/Bank
to Service Tax payable
sanjeev
(service)
(23 Points)
Replied 24 September 2010
What if the samples are used in production i.e. purchase not booked but material consumed.
CAclubindia
