Hi all,
Pls clarify the following situatuion...
A company recieves Rental Income Rs.10900/- p.m from July onwards (therefore,9 months)
Rent recieved is Rs.9810 every month after TDS of Rs.1090/-
For march rent will be recieved on April. Therefore, provision is to be made for Accrued rent.
But the company has made the following entries :
Bank a/c Dr. Rs.9810
To Rent recieved a/c Rs.9810
( for 8 months )
On March :
1) Rent recievable a/c Rs.9810
To Rent recieved a/c Rs.9810
2) Tax Deducted at Source a/c Rs.9810
To Rent recieved a/c Rs.9810.
Is this right ?
CAclubindia
