AMIT KUMAR (CA FINAL) (26 Points)
15 November 2015How to calculate Direct Tax paid for cash flow statement from financial statement of Listed Company?
I trying to calculate the same but figure is not tally with the amount of Direct Tax paid shown in cash flow statement.
Kindly help me on this matter.
I hereby attached the financial statement of TATA Steel.
@Kals@
(CA Final)
(87 Points)
Replied 15 November 2015
Direct Tax Paid in Balance Sheet will Include both Provsion and Actual Cash paid
and Direct Tax Paid in Cash Flow will include only the Actual Cash Paid.
So , to have more clarity you need to have Tax Expense Ledger A/c
AMIT KUMAR
(CA FINAL)
(26 Points)
Replied 15 November 2015
@ Kals - Thanks for your reply
So we cannot calculate Direct Tax paid for cash flow statement only with the help of Financial Statements given in Annual Report of a Company.
Because how can I get Tax Expense Ledger A/c.
@Kals@
(CA Final)
(87 Points)
Replied 16 November 2015
Yes , you need to have Tax Ledger , with that u will get the details of Actual Tax Paid. Wch will get reflected in Cash Flow Stmts.
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