06 October 2014
we have received demand notice from Maharashtra Maritime board towards short payment of Export wharfage ,the amount related to last 4-5 years , is it prior period exp or not if not , pls explain
06 October 2014
Prior period items are income or expenses which arise in the current period as a result of errors or omissions in the preparation of the financial statements of one or more prior periods. This is a demand for short payment it will not fall under the above definition hence it is not a prior period exp.
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