Ravi kumar agarwal (CA Student) (48 Points)
16 May 2013Dear Sir,
Can any one tell me the accoding to schedule VI of companies act, 1956 is this right to show bank charges under finance charges in income statement.
Paras Chheda
(Salaried.)
(87 Points)
Replied 16 May 2013
NO banck charges cannot be shown as Finance Charges.
But if banck charges are incurred for loan ( Bank charges for Buyers Credit etc) then it is to be included in Finance Charges.
Ravi kumar agarwal
(CA Student)
(48 Points)
Replied 16 May 2013
I found in the balance sheet of many companies that bank charges for curret a/c are showed under finance charges and consult to some charetered accountants and their views was that this will be showen under finance charges.
CAclubindia
