Accounting treatment of Difference in Trial Balance

This query is : Resolved

Gaurav Singh Patel (Querist)
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19 August 2009 What should be the accounting treatment in current year of difference in trial Balance in last year balance sheet.
weather it should transfer to capital A/c or transfer to Profit & loss A/c or any other treatment

Praveen Sharma

Praveen Sharma (Expert)
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19 August 2009 should be transfer to Profit & loss account.

Thanks

CA.Pujah

CA.Pujah (Expert)
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20 August 2009 I want to know something.
Is your last year balance Sheet audited?How did you treat the difference then?

CA Gangadhar Mishra

CA Gangadhar Mishra (Expert)
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20 August 2009 if the dif. is imaterial/small amt charge to p l a/c,otherwise Carrry Forward as suspense in balance sheet to be find out the dif. in future.

CA. Arul Mozhi Varman

CA. Arul Mozhi Varman (Expert)
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20 August 2009 Every debit has its own equal and opposite credit. - Basic logic in Accountancy....

Suggestion - Try to find out the mistake if the diff is massive. If the diff is meager of neglible, just write off if there is a debit balance in the current year P&L or show it as income, if there is a credit balance.

CA. Arul Mozhi Varman

CA. Arul Mozhi Varman (Expert)
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20 August 2009

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