Tax audit

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bikash (Querist)
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19 September 2011 dear all
Can i claim loss by theft 400000(cash).. in p&l a/c....?
i m preparing a tax audit report.. is there any problems in future.. i have a FIR copy of that....
plz help...

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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19 September 2011 You can claim it but if it is recovered or traced then you should offer to income on that year i think now it is better to charge to capital account take your auditor's suggestion.
OM SAI SRI SAI JAI JAI SAI

bikash

bikash (Querist)
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19 September 2011 thanx mr. dintakurthi..

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bikash

bikash (Querist)
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19 September 2011 But our Profit will decrease a lot..
is thre any scrutny chances for this case.

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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19 September 2011 Yes the scrutiny chances may be high for that purpose i am suggesting you show it as receivable on the assets side for 3 or 4 years then write off to p&l account as polices are try to trace that but not found and also safe side to face the scrutiny is take a letter from police as we traced for the stolen money then you write off to P&L then your safe and confident in case any scrutiny situation. Now a days scrutiny also be selection by the Computer system so selection of your case for scrutiny is 50:50 chance it may be select for scrutiny not for this thing may be for other.
OM SAI SRI SAI JAI JAI SAI

bikash

bikash (Querist)
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19 September 2011 thanx a lot ..
this is better way for reoport....
om sai..