Sir,

Please Tell me the accounting treatment of MAT, if MAT Attracts a company First time.

Actually Current year Book Profit is suppose Rs.5000 and Carried Forward Loss Rs.150000

Therefore there is no Tax liability after adjusting Previous Year Loss but Mat will attract For Rs.9250 (50000*18.5%).

Please tell me which journal entry is needed to pass in this case for creating Provission.Is the Following entry is Correct????

MAT Credit A/c Dr.9250
(Current Assets)

To Provission For MAT A/c. Rs.9250
(Current Liability)

Hi,

A partnership firm acquired assets by buyer’s credit. Generated the revenue for 3 years. The borrowing cost of the buyer’s credit was charged to the respective revenue.

After 3 years of operation the assets were transferred to closely held Pvt. Ltd. Co., where the partners are the only share holders, which is Incorporated for acquisition of the said asset and implementation of new project. However the buyer’s credit was not transferred, as 100 % margin was given by the partnership firm.

The borrowing cost including the loss due to foreign exchange incurred from the date of transfer of assets till the date of repayment of buyer’s credit is substantial amount.

Question:

a) whether the firm can transfer the liability to the Pvt. Ltd. Co. as the benefits of the asset is enjoyed by the company.

b) can this liability be treated as cost of the project under pre-operative expenses.

Hi,

We are a Pvt. Ltd. Co. engaged in generation electricity by wind. The company was incorporated to set up 50 MW power plant. In the process the company acquired the exiting 10 MW wind farms and balance wind farms are to be procured and installed.

The COD of 50% of proposed project was completed as at the end of the financial year.

In the process of implementation of the project and acquisition of exiting plant, the company generated revenue by sale of power and used for project implementation, thereby reduced the borrowings.

Question: Whether the revenue generated during the implementation amounts to reduction in pre-operative expenses / project expenses or revenue liable for tax.

A building purchased by Real Estate co. for Sale it should be treated as Fixed Assets or as Investment.... and whether depreciation Charged on it or not.....

If a company has taken premises on operating lease for 5 years. The amount incurred towards the expenditure i.e. Stamp duty, Lawyer's fees etc towards registration. Should the said expenditure be charged against revenue or to be amortised over the lease period.

I am confused regarding calculation of Total Capital Investment. Please let me know how total capital investment is calculated? Is it just a total of Fixed Assets in Block & Capital WIP?? Or does it include other assets e.g. long/short term advances, cash & bank, trade recvbles etc?
Plz reply as soon as possible.

Thnx in Advance

Our company is subsidiary of US listed company. Because our parent company is listed in US whether Cash flow is applicable to us ?

Except above fact with all other aspects we are SMC in India.

Regards,
Krishna

Discount received at the time of settlement of bill with creditor is direct income or indirect income? Please answer me whether the discount received should be part of Trading account or Profit and Loss account.

If the TDS Dedu. from Maharashtra Ele. Corpn. for Int rec. on Deposit. How to pass the same entry in books of a/c & TDS Rec. a/c ledger will show under which Group of a/c

Dear all,

What is the accounting date of invoice?

Normally there will be time gap between date of invoice and receipt of material by the purchaser. In the following example, when we have to account the purchase transaction in our accounting system.
Example:

Date of PO: 01.08.2012.
Date of Invoice: 10.08.2012.
Date of actual receipt of goods: 02.09.2012
Date of GRN prepared by stores dept: 05.09.2012.

In which date i can account the invoice in accounting system. Date of Invoice / Date of goods received / date of GRN ?????

Kindly clarify?? In our company we are following GRN date for accounting of transactions. But I think invoice date is correct. Which is it correct, please clarify??

Thanks & Regards,
Swamy K