FOREIGN EXCHANGE DIFFERENCES!!!!!!!!!!!!!!!!!!!!!!
This query is : Resolved
19 October 2007
HOW SHOULD THE FOREIGN EXCHANGE DIFFERENCE BE DISCLOSED IN CASE OF A PVT LTD COMPANY'S BALANCE SHEET?? CAN IT BE ROUTED THROUGH P&L ACCOUNT OR HAS TO BE REFLECTED IN THE BALANCE SHEET ONLY? THE COMPANY IS AN ASSOCIATE OF THE COMPANY ABROAD????
19 October 2007
As regards foreign exchange differences, the point to be seen is whether that is Profit and Loss account item or Balance Sheet item. In the case of Profit and Loss item, then it can be shown in P& L , as per the Accounting Standard 11.
In the case of a Balance Sheet item, then it should be shown in the Balance Sheet of the Pvt limited company.
In the case of a Balance Sheet item, then it should be shown in the Balance Sheet of the Pvt limited company.
19 October 2007
Also go through the article from the following path:
https://www.caclubindia.com/article_list_detail.asp?article_id=282
https://www.caclubindia.com/article_list_detail.asp?article_id=282
28 October 2007
If in same case its W.L.L. company then what will be treatments for foreign exchange difference.
W.L.L. company made payment towards inter company loan taken and had loss of foreign exchange.
How will it be treated in books.
W.L.L. company made payment towards inter company loan taken and had loss of foreign exchange.
How will it be treated in books.
01 November 2007
AS 11 treatment will prevail. P&L items will be in P&L and Balance Sheet items will be treated in Balance Sheet. Thus plase send more details to clarify the same. AS 11 more details can be forwarded to you.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Taxable or Tax exempt
- CAPITAL GAIN BASE ON NOTIFICATION
- Form 140 tds
- ITDS U/S.194T of Firm
- ADVANCE PAYMENT OF ADVOCATE
- NRI starting business in India
- FORM 141 SDV query
- Eway bill not cancelled within 24 hous what can be due
- Demand Outstanding AY 2013-14 TDS Deducted not shown in 26as
- TDS Return Q1 FY 2026-27
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
