Entries related to Tax, Provisions, Advance Tax, etc.

 Dear Vyom,    I have prepared  scheme of  Journal Entries under different assumptiions.   i will send them to you.  pl give your email id.  Sampath   

  Could you please send me the scheme of entries because i am facing the same problem now

at bkraviraj @ gmail.com

 Sampath Sir can u plz forward me the same at

ksh*tijsaxena @ live.com

Thanks & regards

Ksh*tij saxena

 pl read  fthe attached file.- sampath  Kumar

thanq for the attached file regarding the prov entries.... Mr.Sampath

  Dear Friends,  thanks.   I HAVE NOT DONE ANYTHING  GREAT.  IF THE SCHEME OF  JEs  have  been of some use to you,   I feel extrrmely  happy.  thanks once again- sampath kumar

Sampath sir i saw u r attachment. In second situation u have credited provision for it (no longer required withdrawn)

What does mean?

Sir,

for example we have input credit of VAT for Rs.10000/- & collected tax from customers Rs.15000/- & We have paid Rs.5000/- to the commercial tax office.Now how can We pass the journal entry for the VAT payment.Please suggest us.

At the End of Year we May Made a Provisional Entry for Liability Booking

Income Tax Dr.

       Income Tax Payble Cr

(Being Income Tax Liability For the Year 2005-06)

At the Time of Adjusting Advance Tax, Tds  and Self Assesment Tax Following Entry Will be Passed

Income Tax Payble Dr.

                 To Tds  Cr

                  To Advance Tax Paid Cr

                   To Self Assesment Tax Cr

( Being TDS, ADT and SET Adjusted with Income Tax Payble)

After Adjusting these Amount if IT Payble Shows any Dr Balance then we will Pay Balance Amount :-

Income Tax Payble Dr.

               To Bank A/c    Cr

( Being Income Tax Paid)

If IT payble Shows Any Cr Balance then we Apply for Refund and After Getting Refund Amount Following Entry Will be Passed

Bank A/c Dr

     To Income Tax Refundable A/c Cr

( Being Amount Received from IT Dept)