When Sinking fund investment has own debentures purchased at a price less than Face Value and subsequently the debentures are cancelled, to which account is the profit on cancellation transferred ? Capital reserve or sinking fund account ?
Rocky ( ) (85 Points)
31 March 2016When Sinking fund investment has own debentures purchased at a price less than Face Value and subsequently the debentures are cancelled, to which account is the profit on cancellation transferred ? Capital reserve or sinking fund account ?
praveena sharma
(student)
(22 Points)
Replied 31 October 2020
You should transfer it to the sinking fund account.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)