Booking of income in case of real estate
This query is : Open
28 December 2013
Hi Experts,
We are running our real estate business of selling commercial shops. We are an authorized agent between buyer and seller and it was also mention in sale deed that we collect whole sale consideration on behalf of seller.
We collect whole amount of sale consideration from buyer say(Rs850000/-) and paid to seller (say Rs 700000) and earn Rs 150000 as income. So whether we should consider it normal sale/purchase or consider an commission income. Also suggest me appropriate accounting income.
We are running our real estate business of selling commercial shops. We are an authorized agent between buyer and seller and it was also mention in sale deed that we collect whole sale consideration on behalf of seller.
We collect whole amount of sale consideration from buyer say(Rs850000/-) and paid to seller (say Rs 700000) and earn Rs 150000 as income. So whether we should consider it normal sale/purchase or consider an commission income. Also suggest me appropriate accounting income.
28 December 2013
you havent mention the nature of your business for which u provide agency business?
30 December 2013
We are running our real estate business.
30 December 2013
Kindly tell me the appropriate accounting entries also with relevant accounting heads.
Thanks
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
- ITR 2 Short Term gain & Long term gain
- Off Market debit and credit transaction
- Itr 1 processing
- Reporting Income under Section 44ADA
- ITR 1: Details for showing Exempt Income
- INCOME TAX ON REDEVELOPEMENT OF FLAT
- Bank Accounts in Balance Sheet for ITR 3
- ITR returnFY25-26
- Short Term Capital gain on shares bought and sold after 2018 onwards
- ITR validation error - Balance sheet is not filled
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- 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
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
