Bad Debts Provision
Amit (Accounts ) (526 Points)
03 June 2022what is maximum bad Debts we can show in balance sheet in a year...
sabyasachi mukherjee
(25731 Points)
Replied 03 June 2022
CA Rashmi Gandhi
(Chartered Accountant)
(86204 Points)
Replied 03 June 2022
CA Aakarsh Jain
(CA)
(10210 Points)
Replied 03 June 2022
CA Ganesh Agarwala
(Audit Senior Manager)
(239 Points)
Replied 08 January 2023
Show? what does that mean? you should disclose your actual baddebts. I am not able to understand what does this question actually mean?
Manish
(CA)
(1071 Points)
Replied 08 January 2023
I think you are asking about the amount of provision for bad debts an entity can make.
There is no limit. It is just an estimate based on past data.
However, the entity cannot claim it as deductible expense under income tax.