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doubt in funds flow statement

IPCC 786 views 3 replies

hey friends can you please tell me that why we do not consider provision for tax, advance tax paid, and proposed dividend in working capital changes .They are
also current assets and current liabilities only na? plz hellp friends

Replies (3)

these items mentioned by you r special category items. they come with adjustment. 

ya income tax aujustments as u told are though current assets and current liabilities items but frm d calculation of working capital changes,it is excluded from d list of CA & CL.Also one of d reason is it is an extraordinary item needs additional adjustment & special treatment hence separately disclosed for the convenience of stakeholders and as per AS -3.

thanks kimaya and rima 


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