MOHAMEDALI (Student) (28 Points)
31 March 2011
Could you please clarify the method of Revenue Recognition of Telephone Recharge cards and Top Up sales?
Suresh Prasad
(www.aubsp.com)
(15630 Points)
Replied 31 March 2011
If it is your Business then Income from SIMs, recharge coupons of Mobile, Prepaid Calling Cards, and Prepaid internet connection cards are treated as income of the year in which the payment is received since the extent of use of these cards within the financial year could not be ascertained.
CAclubindia
