Date of Accounting for Import of Goods

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This query is : Resolved

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This discussion clarifies the correct date for accounting for imported goods, especially when the commercial invoice and bill of entry fall into different financial years. The consensus is to account for the import on the date the goods are physically received at your business premises, not necessarily the invoice or bill of entry date. If goods are in transit at the financial year-end, they should be recorded as such.

manoj jangid

manoj jangid (Querist)
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16 August 2020 On what date is the import bill accounted in books? Is it to be accounted on the date of commercial invoice/ date of bill of lading/ date of bill of entry and accordingly which exchange rate to be recorded? No advance payment has been made against the same. Capital item is purchased and CIF Contract was there

In my case, the date of commercial invoice falls in one accounting year and the date of bill of entry falls in another accounting year? In which year do I account for the capital item purchased?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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16 August 2020 It's CIF contract ownership passes on material reached destination port. So account it considering bill of entry date.

manoj jangid

manoj jangid (Querist)
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16 August 2020 Thankyou SIr for your valuable feedback

Lekhraj sood

Lekhraj sood (Expert)
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17 August 2020 You have to account for the invoice on the date on which you actually received the material at your place of business. Date of invoice or bill of entry is not the reference date for accounting. If there is difference of the accounting year in the date of bill of entry and date of receipt of goods then these are to be shown as goods in transit on 31st March.

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