hi all,
today's my question is
whether security deposit is a sales?
bcs our company is basically a railway Infrastructure company where we undertake railway contracts. at the beginning of participation of tender we have to pay some money as a deposit which is 10%of the contract value, but in that we pay only 2% as a deposit once we get the contract balance 8% will be deducted by the railway as balance deposit along with its tds, gst of 2% and all.
Now that 8% will be treated as sales or it is deposit only?
As such it remains as security deposit till the final settlement of accounts.
CAclubindia
