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balance sheet

Others 374 views 7 replies

Sanjeev Kaushik

DGM

23 Points Posted on 07 March 2019

can a proprietor maintain two balance sheet audited for the same financial year. if yes/no, please provide relevant rules and section. one person filed two balance sheet for two different tender at different interval and the same is in our knowledge.

Replies (7)

Giridhar S Karandikar

Team Lead

7558 Points Posted on 07 March 2019

no he can't .only 1B'S required to be prepared.
however for loan purpose if any interim BS required to be prepared then he can do.
Also companies are required to prepare quarterly financial statement so they will prepare 4 BS in a year

Sakshi Mehta

252 Points Posted on 07 March 2019

you have to prepare two balance sheets one for business (here you have to show only assets and liabilities in respect of business) and the 2nd b/s for the individual which includes everything like his personal assets such jewelry self occupied residence etc. correct me if I am wrong

Priya Kashyap

Student

7053 Points Posted on 07 March 2019

@ Sakshi
But as per accounting concept individual and business are not separate entity, they are same so how can i prepare separate for each one..

Sanjeev Kaushik

DGM

23 Points Posted on 07 March 2019

I agree he can not maintain two banane sheet for same financial year. there is no separate legal entity for proprietor. what is the penalty and other prosecution charges, if any.

CA Chandra Prakash

9873059766 Increasing knowledge through

296 Points Posted on 07 March 2019

@ sakshi agree with you technically we called it as statement of Affairs, but in the given query it is about the business only.

So it's not possible to make two Audited balance sheet for a year in case of proprietorship. other cases it is possible.

Priya Kashyap

Student

7053 Points Posted on 09 March 2019

how can someone prepare two balance sheet for audit ?

Guest

if any proprietor has business then s/he can prepare p/l on the basis of business and the profit and loss can be adjusted with B/s ... but S/he cant make two balance sheet for audit