Broker balance mismatch while accounting of shares

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This query is : Resolved

Quick Summary

A client sold shares in FY 2020-21 and received the proceeds in a separate trading wallet, like Paytm, rather than their bank account. This has caused a mismatch with their broker's account. The recommended solution is to treat the 'wallet account' similarly to a bank account, debiting the wallet and crediting the broker for the sale proceeds.

DIVYESH JAIN

DIVYESH JAIN (Querist)
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26 November 2021 Dear Sir,

One of my client deals in share trading in which he has a share trading account with a broker.

He has sold shares in FY 2020-21 for which he received the money in his wallet like paytm which he keeps separately for trading purpose

My question is where should I show this entry of Sale proceeds as the sale amount is not received into his bank account leading to mismatch in his broker's account.

Regards,
Divyesh Jain

Manish

Manish (Expert)
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26 November 2021 You need to maintain the 'wallet account' like you are keeping the bank account.

Wallet A/c Dr.
To Broker A/c
(Sale proceeds received)

DIVYESH JAIN

DIVYESH JAIN (Querist)
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26 November 2021 Ok, Thanks for your reply

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