Partners interest & remuneration in loss making firm

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 October 2015 Dear professionals,
plz guide me on my following query.
xyz partnership firm has incurred loss rs. 136268/- before partners 12% interest and remuneration, plz let me know in this case should i credit interest and remuneration to partners capital if yes how much...

thanx & Regard
Nitin sharma

praveen

praveen (Expert)
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27 October 2015 Interest can be provided for at 12% remuneration can be provided upto Rs.150000

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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27 October 2015 You have to necessarily look into the provisions of the partnership deed and accordingly book interest and remuneration only if the deed says so in case of loss.