Accounting entry on gratuity
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
14 October 2011
Sir
I have made a provision of gratuity in the Balance Sheet 2009-10 but during 2010-11 some employees left the job without completing 5 years so that their amount will be reverse while calculating the gratuity provision for the year 2010-11.
Pls. advise
Thanks
I have made a provision of gratuity in the Balance Sheet 2009-10 but during 2010-11 some employees left the job without completing 5 years so that their amount will be reverse while calculating the gratuity provision for the year 2010-11.
Pls. advise
Thanks
21 October 2011
Yes, the provision as at 31 Mar 11 will have to be made for live employees on that date.
It will be determined by acturial valuation.
for example, if opening liability was Rs.100/- and the valuation as at 31 Mar 11 comes to Rs.95/-, than Rs.5 will be credited to P&L account.
Please refer AS 15- Employee Benefits for detailed accounting
It will be determined by acturial valuation.
for example, if opening liability was Rs.100/- and the valuation as at 31 Mar 11 comes to Rs.95/-, than Rs.5 will be credited to P&L account.
Please refer AS 15- Employee Benefits for detailed accounting
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- TDS on Consultancy- Non DTAA
- Reopen of assessment proceeding
- Depreciation of fixed assets- coop housing society in mumbai
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- TDS Return Q1 FY 2026-27
- COMMERCIAL INVOICE FOR MATERIAL AND FREIGHT
- Condonation . E-Verification of last year return .
- Eway bill generation from place other than registeted
- GST rate and HSN code for sale of racing horses
- Rental income gst and it purpose
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
