27 June 2015
dear experts,
there is an cash embazzlement by employee amounting rs. 3 lacs last fiscal year. and entity shows it as an advances given to employees but this year entity wants to book it as an expense ie' bad debts
pls comment it can be done or not? also share legal requirement in this regard.
28 June 2015
You have to prove that you have taken all the efforts to recover the amount but failed by showing FIR filed against the employee, recovered against final dues, employee not traceable etc. Simply writing it off in next year will not be acceptable.
CAclubindia
