Terminology for profits

This query is : Resolved

Arun Joshi (Querist)
Follow

13 January 2011 What is or is there any difference between accounting profit, book profit, taxable profit, cash profit? Is the cash profit same as book profit excluding non-cash items?
Why does the government require the companies to calculate the accounting profit and taxable profit separately (This question may belong to economics)?
It would have achieved the objective of tax collection with single calculation.

What financial impact would have been there if the accounting profit and taxable profit were same? Are they so in any country?

Vivek Raju P

Vivek Raju P (Expert)
Follow

13 January 2011 too long question... cannot be answered but cash profit is arrived after adjustments for non cash charges like depreciation, amortisation etc.

Tax has its own methods of calculation of profit due as the objective of the government is to avoid loss to the exchequer.

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

ASIM ATREY AND ASSOCIATES

CA Garima Bhatia

SHIBSANKAR DEY

RAHUL SURANA

CA.Pinank Arvindbhai Shah

Subscribe Now

Terminology for profits

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA