Two business-balance sheet

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If you've started a new business alongside an existing one, you generally need to prepare a separate balance sheet for each, even if they are both sole proprietorships. While you might prepare two profit and loss statements, a single balance sheet is typically not sufficient for multiple businesses. This ensures accurate financial reporting and tax compliance.

Suresh Tambe

Suresh Tambe (Querist)

12 June 2020 I have already one business and I started one another new business from f.y. 2019-20 then in balance sheet it included or make another new separate balance sheet for new business?

Gokul Sharma

Gokul Sharma (Expert)

12 June 2020 STATUS OF YOUR BUSINESS.
PROPRIETORSHIP TAX AUDIT THEN INCLUDE BOTH IN ONE.

Suresh Tambe

Suresh Tambe (Querist)

12 June 2020 no audit. - can make two p&l and only one balance sheet for two business for ITR

Spurto Consultancy Services

Spurto Consultancy Services (Expert)

12 June 2020 Whatever be the form of business, separate balance sheet have to be prepared.
If its a proprietorship firm then also separate balance sheet will be prepared and profit will be taxable in your hands.

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