there was a contrat under which first party will pay Rs20Lacs to another party to start a join business but the second party defaulted and didnt start any business and then the first party filed a case againt the first party for Rs 35 Lacs but the Case was finally settled for rs 22 lacs ...

wheteher the balance amount of Rs 2Lacs(Rs22Lacs-Rs 20Lacs) will be taxable under Income tax act and if yes then under which hear of income and under which section????

hey... is there any major change in the course of ca final
as i completed my course in year 2012 and after that due to some personal issues i was not able to appear for exam..... now i am planning to appear in nov 2013....

so please help me and tell me that there is any major change in the course..........

Hai sir i purchased Gold for Rs 1 Cr In MCX site Am i Subject to any Audit And wt Are the Tax Implications On that


Thank You

is icwai practical training compulsory for Chartered accountant (ipcc) students. I am doing practical training in hyd and i want write cwa inter. so i need to know weather there is an exemption for me. please guide me

Para 12 of AS-2 is as under.
Interest and other borrowing costs are usually considered as not relating to bringing the inventories to their present location and condition and are, therefore, usually not included in the cost of inventories.

As per AS-16 "Borrowing costs are interest and other costs incurred by an enterprise in connection with the borrowing of funds."
and
"A qualifying asset is an asset that necessarily takes a substantial period of time to get ready for its intended use or sale."

Para 15 of AS-16 is as under.
Expenditure on a qualifying asset includes only such expenditure that has resulted in payments of cash, transfers of other assets or the assumption of interest-bearing liabilities. Expenditure is reduced by any progress payments received and grants received in connection with the asset (see Accounting Standard 12, Accounting for Government Grants). The average carrying amount of the asset during a period, including borrowing costs previously capitalized, is normally a reasonable approximation of the expenditure to which the capitalization rate is applied in that period.

Now, the question is as under.
Interest cost should not form part of inventory as per AS-2 as said above. But, relevant provisions of AS-16 provides for the capitalisation of borrowing cost related with even inventories by using the words "for its intended use or sale", "progress payment received".

So, why such controversies are there between these two Accounting Standards?
And How to resolve it?

Dear All,

Suppose a X Company has lien marked its FD,s for loan facility to be availed by its sister concern Y Company, then in such case will such whether the amount of FD's marked will be shown as Contingent Liability in the X Company's Annual Accounts ?

Thank you sir for your prompt reply.

How do we avoid such kind of incident if happens ?

What happen if we issue Form 16A all quarter together For FY 2012-13?

Regards,
Tushar

i have filed ST-3 for period of July - sept 2012, now status of xml file shows that your return is filed. but when i am trying to view ST-3 return, error is coming as "record not found"

what is this error? Is there any problem.

please help me.

My Income Tax audit under process and TDS deduction on 31/03/2013 and paid on 07/05/2013, Kindly send calculation on late payment TDS Amount Rs 23,492/-
Our auditor calculate Interest from 01/03/2013 to 31/05/2013. Whether this is correct.

Upendra T Kuber
Malde Paper Box

Dear Sir

My client's appeal is dismissed at CIT(A) due to non attendance.

Please tell me what to do further, whether there is any way to restore the appeal if yes then what are the procedures and process.

Thanks in advance !