Hello Friends ,
Pls help me : What is the nature of " GOODS SENT TO BRANCH ACCOUNT " .
Thank you in anticipation
Menu
Pls help regarding branch a/c
Replies (4)
It is nothing but consider as purchase for branch from h.o while sales for h.o to branch.
As we r debiting purchase A/c, here goods received from h.o a/c will be debiting in branch book,while as we r crediting sales a/c here goods sent to branch will be crediting in h.o books,
so logic of term is same as purchase n sales but diffrent in its name , bec branch / h.o is doing inter trading hence this a/c is used.
Branch is not a separate legalentity; it is simply a segment of business.
In order to exercise great controlover the branches it isnecessary to ascertain profit orloss made by such branchesseparately.
For the Goods Sent to Branch we can use the stock tranfer out invoice... there is no need to collect the vat. but you need to show the vat retun as stock tranfer out that value. you can sent it on the item cost.
agreed with noufal
Completely agree with hojefa...
But also..
While treatment in branch a/c...
Branch A/c. Dr.
To goods sent to branch a/c.
(Being goods sent to branch).
The above entry will be done in the books of H.O.
while in branch books..it will be vice-versa.
Hope this will help you.
Recent Topic
- Input tax credit under igst under insurance compan
- ITR Form to be used
- CGAS account Holder Deceased
- ITR form suggestion
- Post office KVP income.
- Free GST invoice tool I built for my practice R
- Clarification on Gratuity Exemption under Section
- GOODS AND SERVICE TAX - GSTR 1
- Correct ITR form
- Clarification required on Section 393 & Report
Related Topics
CAclubindia
