Two p & l a/c's & one balance sheet?

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Tax (Querist)
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28 February 2017 Assessee has income from 2 different businesses..

One is from Restaurant Business..

Second is Commission from Transporters..

He incurs expenses in both of the cases above..

Can he prepare two different Profit & Loss A/c's (one for each business) and

One single consolidated and merged balance sheet (for both the businesses as well as personal assets)??

Sandeep Dharar

Sandeep Dharar (Expert)
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28 February 2017 Is books are maintained under the same name (company, firm proprietorship etc) then no need to separate the P&L and Balance sheet.

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
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28 February 2017 Yes, you can prepare 2 p& L, but in ITR 4 to be consolidate Exps and upload.

Tax

Tax (Querist)
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01 March 2017 Sir..

But there are some assets which are used for BOTH the businesses above,

like Motor Car, Laptop etc..

Depreciation of the same to be taken in combined P& L A/C or

how to bifurcate the depreciation between the two seperate P & L A/C's??

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
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01 March 2017 Balance sheet you cannot prepare 2 , only P& L yo can prepare 2 to know individual Business Profitability , You can consolidate P&L and consider depreciation , For ITR -4 you have to upload consolidates statement considering all business income .

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