Method of Accounting

Amit Kamerkar (Partner) (46 Points)

19 March 2010  

My client is in business of export of garment. He is currently following mercantile system of accounting but now he wants to change the method of accounting from mercantile to cash. Its a partnership firm. Is it possible to adopt the cash basis as method of accounting in the export business. Is there any law which restrict the use of cash basis for export business for a pertnership firm. What will be the impact on Taxation under Income Tax Act.