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Sales

Mukesh Bhaiya (Manager- Accounts) (119 Points)

23 June 2016

I do e-commerce business with flipkart, how should i account the invoice in my books based on the invoice date or order date.

Thanks

Mukesh

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7 Replies

CA CS Roshan Begrajka (Chartered Accountants) (267 Points)
Replied 23 June 2016

account them at the time of delivery ie invoice date

Gourav Gupta (Working in CA Firm) (671 Points)
Replied 23 June 2016

when the goods deliver to customer.

(Guest)

According to AS9. revenue for sale of goods should be recorded when "significant risks and rewards are transferred to the buyer"

in ur case, the risk lies with u till the goods reaches the doorsteps of the buyer...so delivery or invoice date might be proper

Rahul (Student CA Final ) (30 Points)
Replied 23 June 2016

It should be recorded at invoice date, not on order date

Arun choudhary (articalship) (153 Points)
Replied 23 June 2016

at the time of goods deliver and received payment against above order. but in this case its not possible hence you can made invoice when you generated means invoice date

CA shanky pahoja (accountant) (615 Points)
Replied 23 June 2016

The answer to the question is on the basis of provision contained in AS 9. As per AS 9 sales is recorded when all risk and rewards are transfered which means when invoice is made. however as per your previous experinces of returns you should also make provision for retuns.

CA Ankit sachdeva (Self- Practice) (35 Points)
Replied 25 June 2016

In these businesses seller recive the payment after 15 to 20 days of delivery of goods but As per AS 9 Revenue will be book when risk and reward tranfered to buyer . Therfore, in your case revenue will be book on the date in which goods divered to customer.

Regards

CA ANKIT SACHDEVA

ACA, B.COM

ankit.k.sachdeva @ gmail.com