my client has took od loan from bank
he ask provisional balance sheet. my doubt was if provisional balance sheet submit to bank and after income tax balance sheet is also same as provisional or some changes can be made?
how much percentage can change provisional to audited balance sheet ?
9 Replies
Eswar Reddy S
(CFO- at NHTF)
(58270 Points)
Replied 26 May 2022
There can be change in audited balance due to audit observations. Some times both can be same if audit completed and clerical work pending
sabyasachi mukherjee
(27574 Points)
Replied 26 May 2022
Provisional balance sheet is for projectio and sometimes has to be given to the bank
audited one is also required in banks but under different scenarios.
audited one is also required in banks but under different scenarios.
Eswar Reddy S
(CFO- at NHTF)
(58270 Points)
Replied 26 May 2022
Projected is different from provisional
CA Rashmi Gandhi
(Chartered Accountant)
(86323 Points)
Replied 27 May 2022
Provisional Balance sheet may differ from audited balance sheet as provisional is only estimation of figures not finalisation.
Eswar Reddy S
(CFO- at NHTF)
(58270 Points)
Replied 27 May 2022
It depends on the accounting status.
In few cases , we have finalized FS but waiting for Tds updation in 26AS . Provisional figures almost similar to Audited .
But it need not be same .
Projected can be estimated but provisional as per the accounts available but not audited yet
In few cases , we have finalized FS but waiting for Tds updation in 26AS . Provisional figures almost similar to Audited .
But it need not be same .
Projected can be estimated but provisional as per the accounts available but not audited yet
sabyasachi mukherjee
(27574 Points)
Replied 28 May 2022
It does not depend on the accounting status.
TDS UPDATION IS AUTOMATIC. LOG INTO TRACES.
TDS UPDATION IS AUTOMATIC. LOG INTO TRACES.
Eswar Reddy S
(CFO- at NHTF)
(58270 Points)
Replied 28 May 2022
If accounting is completed in all respects then there won't be much difference between provisional and actual audited.
So accounting status is very much important.
Tds may be updated later but if is already accounted in accounts then no difference araises between provisional and audited
So accounting status is very much important.
Tds may be updated later but if is already accounted in accounts then no difference araises between provisional and audited
sabyasachi mukherjee
(27574 Points)
Replied 04 June 2022
Let me explain the accounting process
1. before finalization all bills must be booked
2..accruals for all others items must be taken into consideration.
3. daily utility bills must be considered at the fag end of the year.
4. all purchase bills and sales bill must be booked.5. cut offs must be separately established and circulated.
6. balance confirmation of all assets and liabilities must be ascertained.
7 ..fixed asset registrr update
8. liabilities register update.
1. before finalization all bills must be booked
2..accruals for all others items must be taken into consideration.
3. daily utility bills must be considered at the fag end of the year.
4. all purchase bills and sales bill must be booked.5. cut offs must be separately established and circulated.
6. balance confirmation of all assets and liabilities must be ascertained.
7 ..fixed asset registrr update
8. liabilities register update.
Eswar Reddy S
(CFO- at NHTF)
(58270 Points)
Replied 05 June 2022
If all finalization process is completed and just Auditors signature pending with few clarifications then in this case provisional and audited may not have much difference.
That's why I quoted that it depends on accounting status
That's why I quoted that it depends on accounting status
Recent Topics
- Can i declare LTCG income as business income if I
- Stock entry in new software
- I have an EMI collection shop, what is its SAC cod
- Making payment once in quarter possible under QRMP
- Master File Documentation related
- Applicability of 44AD needs clarification
- ITC reversal in GST 3B
- Claim if ITC on stocks 19-2020 conversion from com
- Urgent doubt on GST
- Profit or Loss on Sale of Assets Accounting treatm
Related Threads
CAclubindia
