Please anyone clear my doubt about the following :
Suppose a Proprietorship firm has given us a cheque on 01.01.2010 of Rs.200000 and we sold goods on 02.02.2010 of Rs.150000 to them , so the balance amount Rs.50000 which wasn't repaid till 31.03.2010 have to be considered as loan taken u/s 269T.
OR
We'll have to take Rs.200000 as loan u/s 269T.
Dear Rahul,
If Rs. 50000/- is to be adjusted against next year's sales then 269SS and 269T will not be applicable.
You can group this balance in ARCK.
hi
i don't have any idea please send the another information.
thank you
regards,
phe9oxis,
You can include Rs.50,000/- in Sundry Creditors for Others.
This is an advance payment from your debtor.
Hence you have not taken any loan or deposit.
Tutorials:
Advance Payment is not Deposit. Deposit is not adjustable in the business transactions.
Thanks a lot for resolving my query.
it's just a trade advance and not all the advances can take the charecter of loan as provided under sec 269T of the income tax act, 1961. U can always justify u'r case by showing AO that amount received excess is a trade advance and it is common practice to take such advance and is adjustible against the future sales.
regards,
Manoj
CAclubindia
