We are providing event management services for which we billed to our client for our services and includes expenses done for providing services as pure agent. Now we want to know whether reimbursement expenses charged by us in invoice will come in income side or not. whether total bill including reimbursement charges will be calculated as our turnover for Tax Audit.
Eg. Reimbursement charges 9,00,000/- and our commission 1,00,000/- Total bill 10,00,000/- Whether 9,00,000/- recovered has to shoe in income side and whether 10,00,000/- total amount to be count for tax audit or 1,00,000/- only
19 March 2014
thanks but I need more clarity whether I have to show this 900000/- in Income side of Profit and loss if not then where it will be booked in accounts .
CAclubindia
