I wanna knw dat if a company maintains separate account in which Sales tax recovered is credited n Sales tax paid is debited then wl it be included in calculating the TURNOVER for the purpose of Sec 44AB(tax audit) of IT Act..?
plz give ur views..
CA Sidhi Gaur (Chartered Accountant) (247 Points)
16 November 2009I wanna knw dat if a company maintains separate account in which Sales tax recovered is credited n Sales tax paid is debited then wl it be included in calculating the TURNOVER for the purpose of Sec 44AB(tax audit) of IT Act..?
plz give ur views..
Krutesh Patel
(ACA)
(727 Points)
Replied 16 November 2009
As per ICAI guidance, if taxes collected are regularly credited to separate account and not included in sales, then it will not be added in turnover
CAclubindia
