10 February 2011
Hello Experts I am sanjay this side. I want valuable advise on one entry in Tally. There is a car in the co's book and the insurance claimed by the co and the cheque has been recieved. I want to know that this amount is treated as an income of the co or the value of car has to be increased. the entry should be: Bank A/c Dr Insurance Claim A/c Cr and this account is under Indirect Income head while creating the account in tally. Kindly advise. thanks and regards sanjay
Your entry is correct. You should create "Insurance Claim Received" A/c under Indirect Income as it is not directly related to business activity. Secondly it never increases the value of the Car in any way.
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