Bonus & CTC
This query is : Resolved
11 May 2010
Dear Sir,
We have made provision for bonus for 2009-10 for Rs 3000.I wish to know how we book the salary in our books of account? Because suppose in 2009-10 Mr.A get 80 thousand CTC and the bonus liability is another 3000 for 2009-10 but we did not adjust/pay 3000 thousand amount for bonus in 2009-10.Since he got his Total CTC we have not to pay another amount but because of adjusting bonus payable amount how it is to be adjusted/booked in 2010-11 from salary .Whether CTC got changed or not.
Please do the needful.
Thanks & Regards,
Raghav Jha
We have made provision for bonus for 2009-10 for Rs 3000.I wish to know how we book the salary in our books of account? Because suppose in 2009-10 Mr.A get 80 thousand CTC and the bonus liability is another 3000 for 2009-10 but we did not adjust/pay 3000 thousand amount for bonus in 2009-10.Since he got his Total CTC we have not to pay another amount but because of adjusting bonus payable amount how it is to be adjusted/booked in 2010-11 from salary .Whether CTC got changed or not.
Please do the needful.
Thanks & Regards,
Raghav Jha
11 May 2010
The bonus provision at the year end is just a provision made in the books in line with the accrual system of accounting.
While paying the bonus in the next year reverse the provision and pay the employee.
While paying the bonus in the next year reverse the provision and pay the employee.
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
- House Property Reporting in ITR
- Refund Annexure-B
- TDS Claim year
- Internship/Academic shown in Salary Pay Slip of a Doctor
- Refund of 20%pre-deposit paid for stay application
- Rent lease agreement
- TDS Challan Code
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- Liable to deduct tds and 44ADA
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
