How will journlise income tax

Page no : 2

prasad Nilugal ( GST Practitioner & Accounts ) (14163 Points)
Replied 09 December 2017

If company dose not accept the assessment , it can file an apple against the income tax , in such case note to accounts is given under contingent liability .

RAJA P M ("Do the Right Thing...!!!") (127140 Points)
Replied 09 December 2017

No... it's not correct.. As per Ms. TAPASYA's reply is only correct way.. Where is said "Income Tax Paid" amount is PandL account. We paid the IT amount for the profit amount it's provision to Promoters of the firm. It's not from Capital / Personal account... As per my view which company ll run with share they only calculate it's under PandL otherwise the amount treated in Personal/Capital account....

Ajit Hegde (CA - Final) (1367 Points)
Replied 09 December 2017

Those who are saying Capital account, please understand Income tax is an expense and is a P & L item. It is not a balance sheet item.

If capital account theory holds good, you can debit all the expenses to capital account only. What is the need of P & L?

Accounting treatment doesn't differ with the nature of concern. Why do we call the accounting principles as GAAP? These are Generally Accepted Accounting Principles.

Charging income tax to capital is completley wrong. It should be charged to P&L only.

RAJA P M ("Do the Right Thing...!!!") (127140 Points)
Replied 09 December 2017

enjoy....

amit aggarwal (Tax Consultant) (59 Points)
Replied 16 December 2017

Rajaji, you are all right but for above CA's "Indian ka to bhgwan maliik h"

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RAJA P M ("Do the Right Thing...!!!") (127140 Points)
Replied 16 December 2017

Originally posted by : amit aggarwal
	Rajaji, you are all right but for above CA's "Indian ka to bhgwan maliik h"

Dear Amit Aggarwal., I'm not understanding above said reply. I don't know Hindi ya...! Also any wrong / Correct reply then give your suggestions... Out of Criticism...

TAPASYA (CA) (297 Points)
Replied 18 December 2017

Originally posted by : amit aggarwal
	Rajaji, you are all right but for above CA's "Indian ka to bhgwan maliik h"

MR. AMIT THIS IS THE LEAST THAT COULD HAVE BEEN EXPECTED FROM YOU TO CRITISICE THE WHOLE FATERNITY THOUGH BEING A PROFESSIONAL YOUSELF!!! MR RAJA P M DID BACK MY OPINION...AND IM PROUD OF BEING A CHARTERED ACCOUNTANT.. HAVE U FORGOTTEN UR PROFESSIONALISM??

RAJA P M ("Do the Right Thing...!!!") (127140 Points)
Replied 18 December 2017

Sorry to say Ms. TAPASYA...

I agreed your opinion as the Company related....

Also I'm not agreed it other than Companies...

TAPASYA (CA) (297 Points)
Replied 18 December 2017

Originally posted by : RAJA P M
	Sorry to say Ms. TAPASYA... I agreed your opinion as the Company related.... Also I'm not agreed it other than Companies...

SIR WHEN U FIRST QUOTED THAT IT SHLD BE THROUGH CAPITAL ACCOUNT ONLY..U DIDNT TAKE INTO CONSIDERATION THE POSSIBILITY FOR COMPANIES...THAT DOESNT MEAN THAT WE START CRITICISING YOU AND WE DIDNT..BUT I HAVE AN ISSUE W WHAT MR AMIT SAID..I RESPECT U AND HOPE THAT YOU TOO DONT ENCOURAGE PPL LIKE THIS...

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