banner_ad

Forex treatment

This query is : Resolved 
Profile Image

Profile Image

(Querist)
02 June 2016 how to treat the forex diff. in all the relevant account relating to raw material purchase on the date of transaction and on 31.03.2016
say: good purchased $5000 on 1.1.2016 ($1= 42)
taken loan from bank to meet the transcation, bank paid $5000 on 10.1.2016($1 =46/40)
we repaid the loan 20.01.2016 ($1= 50). how to treat in financial statements?
Profile Image

Jaymin Sabhaya

Profile Image

Jaymin Sabhaya (Expert)
03 June 2016 Dear Ma'am,
AS PER MY VIEW - - -
Loss on account of restatement of liability at the year end Exchange rate is not to be treated as notional loss. it is to be treated as revenue loss and to be deductible in computing business income in Bonafide cases.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news



Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
ARTICLESHIP 31 May 2026
Article Assistant

KPRS And Associates

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 27 May 2026
CA Article Trainee

Rahul Dang & Associates-Chartered Accountants

Pune

CA Inter

View Details
Company
22 May 2026
U.S. Financial Reporting & Consolidation Manager

Karia Overseas

Ahmedabad

CA

View Details
Company
ARTICLESHIP 15 May 2026
ARTICLE ASSISTANT, TRAINEE AND PAID ASSISTANT

YOGESH KAPOOR AND ASSOCIATES

New Delhi

B.Com

View Details
Company
14 May 2026
ICSI Trainees for 21 Months and Semi-Qualified CS

CMNITY HIRE

New Delhi

Others

View Details
Company
26 May 2026
Education Content Creator

Adyayam Education LLP

Bengaluru

CA Foundation

View Details
Company
ARTICLESHIP 17 May 2026
CA Article /Trainee

Malik Sunil & co

New Delhi

CA Foundation

View Details
Company
ARTICLESHIP 23 May 2026
Article Assistants

Acupro Consulting

Gurgaon

CA Inter

View Details