is sinking fund A/c & debebenture Redemption Reserve are same?

Whether gain or loss arising on Foreign creditors at the year end can be transferred to proviosn for foreign exchange loss or gain a/c instead of transferring the gain or loss to the respective party A/c's

Hello

If a indian co. purchase a fixed assets for Rs.4.5 crore on credit from a forign co.but after 2 yr that forign co. is insolvent and did not claim his amt.

I want to know what is entry as per AS(accounting standard) and wht is tax implement as per income tax.

Our client is a trust and it has shown an amount of Rs. 20 lakhs as advance given for a property. This property is a disputed one and so the trust could not occupy it. Thus the trust had not capitalised the asset.


Now the trust sold the property and received another property in exchange which is worth 1.5 crores (stamp duty value)So now how should the accounting treatment be done? At what value should the new property be shown and why?

Dear Experts,
Require ur immediate reply...Very urgent Sir!!!
For a first year incorporated company we are finalizing the audit.
For AS - 22 calculations i have done the following workings. Please tell me whether i am correct or not. Because of this i have not yet said to my senior that the audit has been finalized.

Closing wdv balance of Fixed Assets as per Companies Act - 60,00,000
Less: Closing wdv balance of Fixed Assets as per Income Tax Act - 50,00,000
Difference in balances = 10,00,000
Note:
(1)This is due to difference in depreciation amount. In Income Tax act we are claiming more depreciation amount than companies act. Therefore Tax Profit is less than Book Profit, consequently we are paying less tax now which we have to pay at a latter point of time, thats why we have to create DEFERRED TAX LIABILITY.
(2)It is assumed that there is no amount disallowed u/s 43B.



Deferred Tax Liability to be created - 10 lakhs * 30% (no surcharge or cess since less than one crore income) = 3 lakhs.

First Entry - Booking the expense and creating liability:

DTL* (P&L) A/c Dr. 3 lakhs
To DTL (B/s) A/c 3 lakhs
(Being the amount of Deferred Tax liability which we have to pay in later years for which currently booked as expense and corressponding credit (i.e. liability) is being created)

* Instead of DTL (P&L) we may also term it as Tax Expense

Second Entry - For transferring the expense into P&L a/c:

P&L A/c Dr. 3 lakhs
To DTL (P&L) A/c 3lakhs
(being the amount of Deferred Tax transferred to P&L account for the year ended 31.3.2010)

Please inform me whether i am correct or not in this regard.

With regards,
Rajesh.

Dear Experts
I am working is a firm we import goods for trading and some times we use depb for custom duty paid. we purchase depb and passed
these journal entry
Purchase a/c dr
vat a/c dr
to creditors a/c

and we do nat pass any entry that show we use DEPB for paid custom duty

please tell me the journal entry in these situations

1 when we purchase DEPB licence
2 when we paid custom duty

please reply

Fixed Assets put to use in one accounting year at a foreign exchange rate but the payment for the same is made in the next accounting year at a different foriegn exhange rate as the foreign exchange rates changed - please suggest the accounting treatement for foreign exchange gain or loss as per accounting standard

My case is

THe company replaced the factory premises with Cement roads in the place of tar roads.

The management is arguing tat this expenditure is to be charged to revenue.

But in my opinion the expenditure incurred increase the life of the asset. so the expenditure is to be capitalised

whether my opinioni correct or not? if yes or no,provide me answers with necessary case references as soon as possible

Thanks in advance

Sarath

In AS-4 events occuring after the balance sheet date is adjusted if it is adjusting event . Satutory obligation is mandatory to adjust in financial statement.eg Dividend.payment of fee of registar of companies is also adjustable in finacial statement ?

Hi, Can someone give the examples of tangible & intangible current assets & not fixed assets? Will debtor, cash at bank be an intangible asset?