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AA-39 Partner Admitted Tax Recording

My Videos (Accounts Officer ) (717 Points)

17 October 2023

Dear All Respected Members,

Please educate me on following:

Suppose that a partnership firm filed their 2022 return. Firm shifted profit share to partners.

Upon filing return of partners, it is found that there are some admitted tax which need to be deposited first to file their returns.

Firm deposited that admitted tax on partners behalf in Sep. 2023.

Please educate that in which year this tax payment will be recorded? in FY 2022 or 2023 ? and what will be journal entry of it ?

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20 Replies

sabyasachi mukherjee (27849 Points)
Replied 18 October 2023

Post your financial data's.

RAJA P M ("Do the Right Thing...!!!") (128106 Points)
Replied 18 October 2023

Paid behalf of partners/promoters then its just drawings...

My Videos (Accounts Officer ) (717 Points)
Replied 18 October 2023

Dear Raja PM Sir,

Thanks for your reply.

please can you share journal entry of it.

My Videos (Accounts Officer ) (717 Points)
Replied 18 October 2023

Dear sabyasachi Mukherjee,

Thanks for your reply.

I am sorry that I can't share the data as it is confidential. Please consider dummy figures for reply of that query.

RAJA P M ("Do the Right Thing...!!!") (128106 Points)
Replied 18 October 2023

Payment:
Dr. Tax Paid A/c - XXXX
Cr. Bank A/c - XXXX

partner's account:

Dr. Partner's Current Account (Capital A/c) - XXXX
Cr. Tax Paid A/c - XXXX

1 Like

My Videos (Accounts Officer ) (717 Points)
Replied 18 October 2023

Dear Raja PM Sir,

thanks for your reply.

can you please inform that in which account group tax paid account will be made ?

My Videos (Accounts Officer ) (717 Points)
Replied 18 October 2023

Further, please let me know both these entries will record as per sequence which you mentioned or only any of 1 entry will be recorded ?

RAJA P M ("Do the Right Thing...!!!") (128106 Points)
Replied 18 October 2023

Originally posted by : My Videos
	Further, please let me know both these entries will record as per sequence which you mentioned or only any of 1 entry will be recorded ?

Are You paid Tax...???

RAJA P M ("Do the Right Thing...!!!") (128106 Points)
Replied 18 October 2023

Originally posted by : My Videos
	Dear Raja PM Sir,thanks for your reply.can you please inform that in which account group tax paid account will be made ?

You can it under Revenue Authority or Short term provisions or Current Liability...

My Videos (Accounts Officer ) (717 Points)
Replied 18 October 2023

Yes, We have paid.

RAJA P M ("Do the Right Thing...!!!") (128106 Points)
Replied 19 October 2023

Originally posted by : My Videos
	Yes, We have paid.

Well...

Is this entered in the books of Accounts...??

My Videos (Accounts Officer ) (717 Points)
Replied 19 October 2023

Not yet. The noted this entry separately (not in accounts) because they are confused that is why I raised query on behalf of them.

RAJA P M ("Do the Right Thing...!!!") (128106 Points)
Replied 19 October 2023

Originally posted by : My Videos
	Not yet. The noted this entry separately (not in accounts) because they are confused that is why I raised query on behalf of them.

Then You can pass that two entries.

Otherwise made Single payment entry to partner's Current (capital) account and suitable Narration is enough....