Personal investment

others 544 views 1 replies

Parmod Rawat

B.COM MBA CWA Inter

401 Points Joined April 2009

I have a question related to personal investement..
My question is, in a sole proprietorship firm, Ram owner of a sole proprietor paying his lic through capital of a sole proprietor & after twenty years if he gets rs. 20 lac on maturity then what is the treatment in sole propreitorship accounts & in personal account of Ram.

waiting for your answer....

Replies (1)

Vinod Lakhera

CA in service

85 Points Joined January 2010

1. During payment of premium, As the proprietor ws making payment from his capital account it is drawing for him and subsequently when in maturity he receives the final amount it may be treated as it capital investment in the firm.