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Accounting of Import Purchases

Others 1186 views 1 replies

koduri mohan

Audit-Executive

55 Points Joined December 2009

Dear All,

while accounting of import purchases whether we should consider Bill Of Entry(BOE) Price or Invoice Price, If it is BOE price where we arrive Assessing Value(AV) by adding Notional Frieght Charges and Transit Insurance 1.125%, but its not actual we paid. Please suggest me Whether i should take BOE Price Or Invoice Price and also give me necessary notes on this.

Thanks & Regards

Mohan Koduri

Ph No.7795113787

Replies (1)

avinash

CA CS

54 Points Joined July 2010

For accounting of import voucher, you should enter IPV with multiply invoice value with exchange rate on date of receipt of material, any difference during actual payment should be transferred to foreign exchange fluctuation a/c.