Proprietor balance sheet

Efiling 8206 views 7 replies

Basu Agarwal II

9 Points Joined August 2016

Hey All,

1. I want to know that whether the personal assets (like Car,Gold,Land,House) of a propritor of a business are also shown in his balance sheet.

2. I am Prepareing a B/S of an individual businessman who has no registration under any taxes except PAN card. I want to file his return under ITR-4.

3. If i propritor has a business for last 25 years now he want to prepare his b/s from this year, so how can he introduce capital, is he include his own house and other personal asstes in that B/s.

Please reply by giving ans. in 1, 2, 3, manner.

Waiting for valuable Replies

Thanks

Replies (7)

1. Personal assests which are using in business also for business puprpose can be shown in balance sheet of the business.

2. ITR-4 for those who carries business and income of business... where ITR-4S is for those who calculate their income on presumptive basis.

3. no personal assets in business allow. he can use building of his business place as asset..!
hope it will help u

rama krishnan

12244 Points Joined May 2017

you have to prepare two balance sheets one for business (here you have to show only assets and liabilities in respect of business) and the 2nd b/s for the individual which includes everything like his personal assets such jewelry self occupied residence etc. correct me if I am wrong

Nikunj Shiyani

Executive

124 Points Joined March 2013

1. It is the different the personal balance sheet and the business balance sheet.

2. Home and the car shall be shown in business balance sheet only if practically being used in the business purpose apart from personal purpose then take % vise cost of car or depreciation.

3. start from today,, balance available in cash and bank account shall be take in to account with capital account.

4. make entry from 1/4/2017 in the account with available bill for account of sales and purchase, also claim expenses,

5 if you claim expenses for period of 1/4/2017 to 12/05/2017 then cash paid shall be treated first capital and after take in to account payment. i am sure you know the basic axxounting principle ans its application.