Amount to be credited to p/l a/c in case of refund
This query is : Resolved
Aniruddh Shenvi
(Querist)
05 August 2011
I had a basic query which i am posting through an example:
1. provision for tax : 2300000
2. advance tax paid/tds : 2280000
3. refund for the assessment year recieved : (118510)
What amount should be transferred to p/l a/c i.e. only the amount charged earlier as provision to tax or the former including the refund amount or the net amount i.e. amount net of tds/advance tax along with the refund.
It will be great if the entry and effect is also provided
Thank you
1. provision for tax : 2300000
2. advance tax paid/tds : 2280000
3. refund for the assessment year recieved : (118510)
What amount should be transferred to p/l a/c i.e. only the amount charged earlier as provision to tax or the former including the refund amount or the net amount i.e. amount net of tds/advance tax along with the refund.
It will be great if the entry and effect is also provided
Thank you
Preety Parik
(Expert)
05 August 2011
1. Provision for Income Tax...Dr 23,00,000
To Advance Tax 22,80,000
To Income Tax Payable 20,000
2. Tr the balance in Provision for Income Tax to P/L Account. It will be appear as debit in P/L.
3. Income Tax Payable will be appear in Liability side of BS
4. Your refund pertains to earlier Years.
The amount due to be refund would be appearing as Opening Balance under group Loans and Advance.
If Yes then
Bank A/C.. Dr
To Income Tax Refund Receivable A/C
If No it means U have claimed it in earlier years then...
Bank A/C.... Dr
To Income TAx refund A/C
Tr. the bal of Income Tax refund to P/L.It will appear in Credit of P/L
1. Provision for Income Tax...Dr 23,00,000
To Advance Tax 22,80,000
To Income Tax Payable 20,000
2. Tr the balance in Provision for Income Tax to P/L Account. It will be appear as debit in P/L.
3. Income Tax Payable will be appear in Liability side of BS
4. Your refund pertains to earlier Years.
The amount due to be refund would be appearing as Opening Balance under group Loans and Advance.
If Yes then
Bank A/C.. Dr
To Income Tax Refund Receivable A/C
If No it means U have claimed it in earlier years then...
Bank A/C.... Dr
To Income TAx refund A/C
Tr. the bal of Income Tax refund to P/L.It will appear in Credit of P/L
Message likes :
1 times
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
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- MSME disclosure and disallowance
- EPF ECR NEW RULES Sep 17th 2026
- Issuing of delivery challan by seller of goods
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Transfer of Physical Stock Between Two Proprietorship Concerns
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- 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
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
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
