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Urgent revised schedule vi query

Bharat M Durgiya (Belive in Best) (86 Points)

01 September 2012

UNDER WHICH HEAD INCOME TAX REFUND TO BE TAKEN IN REVISED SCHEDULE VI ?

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10 Replies

CA Apoorva Gaurav (CA) (368 Points)
Replied 01 September 2012

CASE 1

if it has been received during the year=> it would be shown in the head "other incomes" i.e PL-2 just after Revenue from operations

CASE 2

If it is receivable during the year=> it would be under

Short term loan & advances

(Advances recoverable in kind for the value to be received)

1)Receivable from revenue authorities

A.Vn.Anusha (B.Com Qualified CA CS - Final) (306 Points)
Replied 01 September 2012

I go with wat apporva has said....

A.Vn.Anusha (B.Com Qualified CA CS - Final) (306 Points)
Replied 01 September 2012

I go with wat apporva has said....

CHAITANYA (C.A.; C.S.) (90 Points)
Replied 02 September 2012

Originally posted by : Bharat M Durgiya
	UNDER WHICH HEAD INCOME TAX REFUND TO BE TAKEN IN REVISED SCHEDULE VI ?

For few of the taxes so deposited,

the company may not have chance of refund because

of its legal position of winning in the appeals.

Further, even if the company has chances of winning, the

timings of outcome of appeals may not be known to

the company.

In some cases, the company may have

expectation that the appeals will be decided within

operating cycle or 12 months from the reporting date

and within this period due refunds will be received by

the company.

therefore it depends on the situatiuon may be current or non current

mWazz (CA-Final) (473 Points)
Replied 03 September 2012

It should not be taken under Other Incomes,

Interest on Income tax refund is taken under Other Incomes.

Alok Srivastava (Consultant) (210 Points)
Replied 03 September 2012

It should be taken in Non-Current Assets as " Deferred Tax Assets ( Net).

CA Devender Chauhan (Group Financial Accountant) (1526 Points)
Replied 03 September 2012

Originally posted by : Alok Srivastava
	It should be taken in Non-Current Assets as " Deferred Tax Assets ( Net).

How it can be Deferred Tax Assets... It will either long term loan term or short term loans and advances.

CA Apoorva Gaurav (CA) (368 Points)
Replied 03 September 2012

@ sonam then where will u keep the refund amount??? in new format p/l a/c income is to be classified under only 2 heads either:- 1) revenue from operations or 2) other income nd i dont think itz gonna be in revenue from operations in any case in any case of dobut plz go through the Guidnce note issued by ICAI on rev schdule VI it vividly deals with the same

CA Apoorva Gaurav (CA) (368 Points)
Replied 03 September 2012

agree with Mr DS Chauhan it cant be treated in "DTA' in any case

CA Sagar Mohandas (Practising ) (39 Points)
Replied 05 September 2012

Current year advance tax (net of provision) as well as past year’s advance tax (net of provision) shall generally be classified as non-current as these are not likely to arise in the short term. Advance tax against which refund orders have been passed, and if not adjusted towards other liabilities, will only be treated as a current asset.

If incase there is a receipt of refund of Income Tax along with the interest during the year, the interest component shall be grouped under Other Income (Non Operating) and the balance shall be adjusted against the Receivable shown in earlier reporting period.