Accounting entry in case of bank charges involving forex transaction

Accounts 579 views 10 replies

ANIL

Others

202 Points Joined October 2014

Hi Experts,

Upon realisatin of export proceeds, our bank have charged as under:

Cr. bank commission........................... 250

Cr SGST on bank commission............. 22.50

Cr CGST on bank commission............ 22.50

Cr SGST on forex conversation 563 (on Rs 1753180)

Cr CGST on forex conversation 563 (on Rs 1753180)

How do i make this entry in Tally especially for forex conversation charges?

Thanks !

Replies (10)

Rohit Tibrewal

Student

3193 Points Joined February 2011

There is no such issue you can make JV or through purchase entry and in return do accept as it is.

RAJA P M

"Do the Right Thing...!!!"

128116 Points Joined January 2015

Is bank charge any conversation charges or not...?

Rohit Tibrewal

Student

3193 Points Joined February 2011

If they have deducted single amount then please ask for the invoice raised by the bank and please don’t forget to provide your GSTIN to bank, if not provided till now.

Most of the bank will not issue tax invoice. If u submit your GSTN then these GST amt will reflect GSTR2A. You can see the same in GSTR2A view report

Entry made thru Jr vr or payment vr

DR bank charges
Dr CGST
Dr SGST
Cr Bank a/c.
Pls dont forget to enter the GSTN of the bank account.

This will reflect in Gstr2.

ANIL

Others

202 Points Joined October 2014

Thanks for your responses.

In GSTR return we need to mention total value & taxable value. In this case, how to relect this entry in voucher please ? As per my above statement, Rs 250 is charged as bank commission and SGST & CGST is charged on it @ 9-9% which is OK but how to show and adjust Taxable value of Forex conversion charges?

Thanks !