Income tax entries

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mudit gupta (Querist)

15 July 2012 can anyone plz tell me what are the accounting entries in regard to income tax of a proprietor?
whether it is a part of capital a/c or should i show it as a TDS Receivable in current asset?
plz its urgent..........

Murtaza I Bhagat

Murtaza I Bhagat (Expert)

15 July 2012 if you are asking for proprietorship advance tax paid, TDS deducted and IT or Proprietor then find here as below,

Advance tax paid Dr
To Bank

TDS(Assets) Dr
To Sundry Debtors

Income tax Exp. Dr
To Advance tax
To TDS
To Income tax Payable

Income tax payable Dr
To Bank

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mudit gupta

mudit gupta (Querist)

17 July 2012 sir,
can we show all these entries through capital a/c of the proprietor?
tally entries:-
1) TDS receivable Dr---( under cap a/c)
to s.debtor
2) advance tax Dr---( under cap a/c)
to bank a/c
3) self ass tax Dr---( under cap a/c)
to bank
4) capital a/c Dr
to TDS receivable
to advance tax
to self ass tax

mudit gupta

mudit gupta (Querist)

25 July 2012 dear expert where to show income tax expense a/c in books ( prop business)?

Murtaza I Bhagat

Murtaza I Bhagat (Expert)

25 July 2012 income exp.a/c is shown after PAT under P&L A/c

mudit gupta

mudit gupta (Querist)

26 July 2012 sir,
does it equivalent to prov for current tax a/c as we do in case of company??

p&l A/c Dr
to prov for current tax a/c.

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