In the balance sheet of business is it required to show the out of the business assets of the proprietor.
Replies (3)
Quick Summary
This discussion clarifies whether personal assets of a proprietor need to be shown in the business Balance Sheet for Income Tax Return (ITR) purposes. The consensus is that personal assets and liabilities should indeed be included alongside business assets and liabilities when preparing the Balance Sheet for a sole proprietor. This provides a comprehensive financial picture for the individual.
Yes you have to show personal assets in Balance Sheet. Profit and Loss is made for Proprietor Business but Balance sheet is made including both Business and Personal Assets & Liabilities.