Cash sales

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ankush yadav

ankush yadav (Querist)
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11 January 2014 what is the difference between cash sales and credit sales entry

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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11 January 2014 cash sales:
Cash / bank a/c dr
to Sales a/c

Credit entry:
debtors a/c....dr
to sales a/c

when cash is received:
cash / bank a/c ...dr
to debtors

ankush yadav

ankush yadav (Querist)
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11 January 2014 that means no journal entry for the cash sales

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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11 January 2014 when u pass 1st entry for credit sales that tim u need to pass in journal mode..

Debtors...a/c
to sales

ankush yadav

ankush yadav (Querist)
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11 January 2014 ok and while in cash sales , there is not a requirement of passing corresponding journal entry?
Debtors/client A/c Dr
to sales A/c

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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11 January 2014 no directly pass only 1 entry as i wrote above.

ankush yadav

ankush yadav (Querist)
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11 January 2014 when r the possibilities of cash sales in the companies, can u give me any such transaction. Please

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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11 January 2014 usually when the client is paying for less then 20,000 then cash sales do occur and for higher amount mostly its through bank...

there is no hard n fast rule as it depends on co policy.

ankush yadav

ankush yadav (Querist)
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11 January 2014 can client deduct tds on such cash transaction?
If yes than how cud we knock off such income wiht a single entry?

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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11 January 2014 client cannot deduct tds as for sales transaction no tds applies for cash sales upto 20,000.

ankush yadav

ankush yadav (Querist)
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11 January 2014 yes. i am from service sector. logistics firm.
here client deduct tds on payment

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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11 January 2014 tell me the whole transaction with amounts paid in cash daywise...