why interest is taken net of taxes and not principal in sfm....?is this universally applicable for sfm and accounts too
CA Srikanth Yadav
(Chartered Accountant)
(3162 Points)
Replied 14 December 2012
Interest expense is allowed as a deduction for the purpose of calculating your income taxes. Hence, it is taken net of tax while calculating Cost of capital, etc.
And this doesn't appy, in the case of Financial Accounting!
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
CAclubindia
