MSME Certified Income Tax Live Batch to commence from 25th January 2022. Limited Seats. Register Now!!

taskopad

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Foreign exchange gain/loss


07 December 2012 During the normal course of business,Goods are purchased from foreign country in foreign currency.
What is the treatment of difference in exchange difference?
The foreign exchange gain/loss account is a direct or indirect income or expenses. Basis for classification into direct or indirect.
During the year end, what is the treatment of unpaid invoices?

08 December 2012 a. The difference be written off under the head 'fluctuation in currency' or any similarly worded.

b. indirect income or loss.

c. In case goods received but not paid to seller then the amount be debited to purchases and credit to seller. The currency rate be applied as was on the date of your receipts of goods.



You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


Similar Resolved Queries


loading





expand_less