banner_ad

Treatment of Goodwill as per AS

This query is : Resolved 
Profile Image

Profile Image

(Querist)
14 June 2008 If 1 partner Mr.X retires from Firm having 3 partners. Total capital of Mr.X in firm is 10 lacks, but on retirement Firm pays him Rs. 11 lacks.Whether Rs. 1 lack can be treated as Goodwill as per Accounting Standard and shown under fixed asset in Balance Sheet ( as this is Goodwill for which firm has paid ) or will be considerd as Internally generated goodwill
Profile Image

PC-www.bharadwajinstitute.com

Profile Image

PC-www.bharadwajinstitute.com (Expert)
19 June 2008 The premium paid for the retiring partner towards goodwill Rs. 1 lakhs should not be treated as an asset.

It should be adjusted to other partners in the Gaining ratio i.e. debited to the continuing partners in the gaining ratio.

However, It is an internally generated goodwill only.
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
ARTICLESHIP 15 May 2026
ARTICLE ASSISTANT, TRAINEE AND PAID ASSISTANT

YOGESH KAPOOR AND ASSOCIATES

New Delhi

B.Com

View Details
Company
26 May 2026
Senior Accountant cum purchase Manager

Vardhaman Group of India

Pimpri Chinchwad

CA Inter

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

SSGS and Associates

Chennai

CA Inter

View Details
Company
12 May 2026
Accounts Executive

Nafa Group

Mumbai

B.Com

View Details
Company
08 May 2026
CHARTERED ACCOUNTANT

SHAH LADHA AND ASSOCIATE

Ahmedabad

CA

View Details
Company
07 May 2026
CA Assistant

amit desai and co

Mumbai

CA Final

View Details
Company
24 May 2026
Accounts & Tax Executive

PARAS KHURANA AND CO

New Delhi

B.Com

View Details
Company
16 May 2026
Account & Audit Asst

RAHUL KHANDEBHARAD & ASSOCIATES

Nashik

B.Com

View Details