Capital account in New balance sheet

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This discussion addresses how to present personal deposits like PPF and insurance within the capital account of a sole proprietorship's new balance sheet format. While typically personal assets unrelated to the business aren't shown on the balance sheet, the advice suggests these personal items don't need to be declared. If desired, the balance sheet format can be modified, but it's generally best to keep business and personal finances separate.

Vaneet Monga

Vaneet Monga (Querist)

21 March 2023 Respected Sir.
Good afternoon
I am prepare Balance sheet for Sole-Proprietorship In new format (Non Corporate entities ) So where i Show proprietor has some deposit amount in PPF account and have some Insurance Health and other so can we insert one or two column in capital account,s format or note . In format have below
Name of Partner/ Proprietor/ Owner
"Share of profit/ (loss) %
As at 1st April 20XX (Opening Balance)
Capital Introduced/contributed during the year
Remuneration for the year
Interest for the year
Withdrawals during the year
Share of Profit / Loss for the year
As at 31st March 20XX (Closing Balance)
No mention any other detail so please provide your valuable suggestion

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

21 March 2023 Generally the investments or personal assets & liabilities not related to business or professions are not declared in the BS relevant to business &/or profession. These are declared in capital account separately. Still if you wish, you can modify the BS format as per your need.

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

21 March 2023 These are personal deposits and insurance no need to show it in balance sheet.

Vaneet Monga

Vaneet Monga (Querist)

28 March 2023 Dear Sir, I have posted a query under income tax . But it shows "Your query has been posted. Will start displaying after moderation".
again i have posted with other Subject same message our query has been posted. Will start displaying after moderation".
Please suggest what is this

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

28 March 2023 Send message to contact us in Caclubindia.

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