Bank guarantees
This query is : Resolved
Guruprasadreddy
(Querist)
20 November 2015
what is bank guarantee? how it can be verified during concurrent audit? how to calculate interest?
25 November 2015
Dear Guruprasad,
Bank Guarantee is basically a letter issued by bank on request and by paying appropriate commission to bank.
Bank guarantee are of 2 types : Financial guarantee and performance guarantee.
As part of audit procedures once can verify the bank guarantee by taking confirmation on its validity from the issuing bank.
Hope this clarifies.
Thanks,
Bank Guarantee is basically a letter issued by bank on request and by paying appropriate commission to bank.
Bank guarantee are of 2 types : Financial guarantee and performance guarantee.
As part of audit procedures once can verify the bank guarantee by taking confirmation on its validity from the issuing bank.
Hope this clarifies.
Thanks,
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
- Tax on Amount transferred in HUF Account
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Nursery business
- GST input credit on commercial property
- GST REFUND ISSUE ON PURCHASE OF PLANT AND MACHINERY
- Working on Gold wastage during Melting of old gold jewellery
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- TDS on Dashcam rent and allied services
- Royalty payments to the Mining Department for procurement of murum - GST input
- 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
- 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?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
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
