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For fixed asset

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This query is : Resolved

Rajakumar (Querist)

17 April 2012 Dear sir's,

if brought capital goods how can i account in tally and avail vat

and how will show in fixed asset ledger,

kindly guide me

Regards
Rajakumar.R

prateek aanchalia

prateek aanchalia (Expert)

17 April 2012 When capital assets come in the business than
Fixed Assets A/c DR
To Cash/bank/supplier A/c

when on assets vat credit is taken than that amount is not part of assets. so that amount u not capitalised.

CA CS Amit S. Kedia

CA CS Amit S. Kedia (Expert)

17 April 2012 If the VAT credit is available on the fixed asset then the accounting entry in the books will be as follows-

Fixed assets A/c Dr xxx
Input Vat Receivable(Fixed Assets) Dr xxx

Cash/bank/Supplier A/c xxx

the above entry will be passed if the inout tax credit is available in the year of purchase otherwise entry will be different and full vat credit will go in deferred VAT credit receivalbe A/c and will get adjusted over the period of allowability.

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