I have come across a situation which doing tax audit of a client where the opening  outstanding amount of creditors is more than 1 lac and he has made payment in various installments of 15000/- on different dates in cash. Is this way is correct or same could be disallowed.Please clarify

Dear Experts,
Kindly consider the below example and give suggestion for Accounting as per Relevant Accounting Standards and others

A Company engaged in the business of Clearing & Forwarding. They raised an invoice to customers along with re-imbursement expenses in which they incurred while carrying out the work.

During the F.Y. 2014-15, they billed to customers an amount of Rs. 1,28,97,491/- in which, their service income is Rs. 38,91,411/- and re-imbursement charges collected is Rs. 90,06,080/-

Now the company wants to netted off the re-imbursement charges collected along with actual expenses.

In such a case, the turnover of the company only will be Rs. 38,91, 411/- i.e. their service income only.

Is it the correct method of accounting? Kindly Advise.

Note: Re-imbursement charges collected from customers is actual only and there is no margin or profit.

Can we capitalised a land on full value which is registered but full payment no done only part payment made.

Dear sir/ madam
I am bit confused regarding the limit for applicability of section 44AB on Real Estate Consultancy Firm (property dealer).

Sir,

we are conducting revenue audit of bank. they are not charging penal interest for late/non submission of stock statements. generally penal interest should be charged @2%.here one example is December 2014 month stock statement due date is 20/01/2015, but they are given on 26/01/2015. in this case how we can calculate penal interest?

Whether a manufacturing firm being audited u/s 44AD can do cash sales exceeding Rs20000 of any goods or not as per income tax act.Whether a firm can receive cashbexveeding Rs.20000 at one time?

I WOULD LIKE TO KNOW WHAT IS THE AUDIT PROCEDURE FOR F&O TRANSACTIONS OF SHARES. WHAT ALL ASPECTS NEED TO BE COVERED ?

In M/s XYZ, Mr X and Y have cop but Z does not. Can Mr. Z sign on behalf of X or Z on matters which can be taken up only by practicing CAs? All three are CAs. Also, can Z sign on behalf of X on an audit report?

Dear Colleagues

Have some doubt, kindly resolve

As per 44AB, If turnover exceeds Rs 1 Cr. Then person (Firm) liable to get tax audit u/s 44AB.

Also a firm can adopt itself under 44AD by showing profit of 8% of total/gross turnover. By adopting this there is no liability on company to get tax audit u/s 44AB.

Also firm who claims that his profits and gains from the eligible business are lower than the 8% and whose total income exceeds the maximum amount which is not chargeable to income-tax, shall be required to get them audited and furnish a report of such audit as required under section 44AB.

So my question is A firm having total turnover:- 50 Lacs
Net Profit :- Nil or Loss

Now whether the firm is liable to get its books audited under sec 44AB????

Rahul

My query is that,when an article founds some discrepancy during the audit,why the chartered accountant,solve that by negotiating with the owner or manager of that company or firm,why he don't qualify or negative the report,just because if he do so he will loose the client?