Shikha Bajaj (CA ) (433 Points)
09 February 2010Pls help
If some firm is not registered under Dvat or Sales Tax. & it purchases a computer & receives a tax invoice mentioning Vat amt. Rs. 2500. Will this amt be capitalised or charged to P & L A/c?
If we charge it to P &L A/c, then what r its implication for tax audit report (Form 3 CD)
Will we do the same treatment if v receive the retail invoice?
Thanks in Advance
Shikha
sahana Murthy
(Student)
(123 Points)
Replied 09 February 2010
Dear Shikha
If the firm does not have output VAT purchase output should be capitalized and cannot be charged to P & L since the computers are also capitalized.
Hope this helps.
Regards
Sahana Murthy.
25 Hours GST Scrutiny of Return and Notice Handling(With Recording)
Survey, Search and Seizure under Income Tax Act 1961
CAclubindia
