banner_ad

Related party disclosure - interest paid on deposits

This query is : Resolved 
Profile Image

Profile Image

(Querist)
28 July 2016 The XYZ company accepts deposit and pays interest on its deposits. Out of total deposits, a deposit of Rs. 50 Lakhs @ 10% which was received from a person who is a relative of a Key Managerial Person of a company. During the F.Y 2015-16, the gross interest accrued/credited on his deposit was Rs. 5,00,000 (TDS -50,000) but interest actual paid was Rs. 1,80,000/-. As per AS 18, this is a related party transaction but I require clarification on what amount will beshown in Financial statement i.e., interest - Gross or actual paid?
Profile Image

CA Amrita Chattopadhyay

Profile Image

CA Amrita Chattopadhyay (Expert)
28 July 2016 Since the books are prepared on the mercantile system, you need to show the gross amount of interest as related party transaction.
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
23 May 2026
Article Assistant

Geeta Manchanda & CO.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 28 May 2026
Accounts, Audit & Compliance Executive

Shyam Joshi & Associates

Pune

B.Com

View Details
Company
19 May 2026
Article, CA & Paid Assistant Positions

Aggarwal Sarawagi and Co

New Delhi

CA

View Details
Company
22 May 2026
Audit assistant

Displayandbeyond

Mumbai

CA

View Details
Company
26 May 2026
Education Content Creator

Adyayam Education LLP

Bengaluru

CA Foundation

View Details
Company
ARTICLESHIP 15 May 2026
Audit Assistant / Article Trainee / Intern

SSGS and Associates

Chennai

CA Inter

View Details
Company
29 May 2026
Finance Head

Bhawar Sales Corporation

Chennai

Graduate (Any)

View Details
Company
16 May 2026
Account & Audit Asst

RAHUL KHANDEBHARAD & ASSOCIATES

Nashik

B.Com

View Details