Go Ad-Free on CAclubindia with Daily Mobile Updates. Subscribe Now!

Write off sundry creditor

Sandeep Himatsingka (SCM-Head) (85 Points)

04 May 2012

I want to write off 1,00,000 sundry credit bal. What ledger should I create & under which GROUP so that a/c entry is properly done. I am using TALLY for my accounting entry.

Thanx in advance

Reply
Follow
Share

13 Replies

Harpreet (* * * * * *) (1670 Points)
Replied 04 May 2012

You need record income to write off a creditor. Entry is as follow: Creditor A/c Dr 100000 To Creditor Write back A/c Cr 100000

1 Like

Upgrade to CAclubindia Pro. Subscribe Now!

ALPESH KUMAR (SUPRITENDENT) (140 Points)
Replied 05 May 2012

u have to write off the individual creditors account by the debiting their account and credit the Creditor Write back A/c . please also keep in ming the tax implication of writting off the creditors. it might be considered as ur income. Please tell me if any other opinion is there...

Sonu Kumar (Account Manager) (665 Points)
Replied 05 May 2012

U may Also Adjust Creditor written off with bad debts or transfer to PL Accounts

frank (owner) (131 Points)
Replied 06 May 2012

I agree with Sonu regarding writing off the creditors account against bad debts if any or book as profit.

Sandeep Himatsingka (SCM-Head) (85 Points)
Replied 08 May 2012

Harpreet,

What should be the tally GROUP for "Creditor Write back A/c" Cr 100000?

Upgrade to CAclubindia Pro. Subscribe Now!

Sandeep Himatsingka (SCM-Head) (85 Points)
Replied 10 May 2012

What should be the tally GROUP for "Creditor Write back A/c"?

Somebody please reply this.

Tejas Jain (Chartered Accountant) (314 Points)
Replied 10 May 2012

"Indirect Income"

1 Like

Shankar Chakraborty (Tax Consultant ) (23 Points)
Replied 14 September 2016

depand on creditors or debtors. accordingly will be passed the entry.

Rama chary Rachakonda (Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294) (5192 Points)
Replied 20 September 2016

Debit Creditors a/c and Credit Creditors write back a/c

Sahil Agarwal (2 Points)
Replied 05 August 2017

What if i dr. the "Creditors A/c" and cr. the "Capital A/c", bcoz in ITR form there is no where mentioned whether i have any creditors or not ?

Upgrade to CAclubindia Pro. Subscribe Now!

Horeshwar Sinha (7 Points)
Replied 19 April 2018

Sir,

If we pass the entry debit creditor's account and credit Creditors write back account it's again a balance arise in the ledger of creditors write back account so how to fully remove from the balance sheet. Please let us know more..?

Dimple Patel (2 Points)
Replied 11 March 2019

Hello , Sundry creditors 10000/- bt we are not paying to creditors we are take as profit entry??

RITIK JAIN (8 Points)
Replied 30 August 2021

Three possible solutions I have found out- i) credit the balance directly to pl a/c...in that way you have to pay income tax on it...ii) we can directly credit it to capital a/c but not sure abt the implications..iii) we can adjust the balance with cash..