Bhushan (Sr. Manager-Internal Audit) (42 Points)
29 July 2010
Dear All,
Please provide caselet & inputs on How can write off be shown in the books of accounts? I want to writeoff disputed amounts of customer from my books of accounts. Also guide on AS applicable for write off.
Regards.....Bhushan
Mayank
(Sr.Accountant)
(152 Points)
Replied 31 July 2010
Hiiiiii Bhushan Sir,
If u want to write off any amount receivable from customer than u have to written off by seprate entry for each customer & u have to proove that all the necessory steps have been taken by u for the recovery of teh amount.Also u have to see that this amount will be balanced only by sales transaction (if it is banking business than amount given as loan will be considered here) in previous years.
byeeeeeeeeeee
amulya
(always ready to learn)
(79 Points)
Replied 11 December 2010
you can show it as a provision for doubtful debts since if you know the reliable estimate of resources a per AS-29
amulya
(always ready to learn)
(79 Points)
Replied 11 December 2010
we cannot write the entry for bad debts because he is not declared insolvent
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