We Have Paid gratuity of 50000 thousand to our employee in FY 2020-21 but no provision of gratuity was made in last FY i.e 19-20.
What is journal entry of above mention transaction.
Menu
GRATUITY PAID
Replies (7)
Quick Summary
While making the first provision:
Gratuity A/c Dr.
To Provision for Gratuity A/c
b. While making payment to the employee Provision for
Gratuity A/c Dr.
To Bank A/c
Gratuity A/c Dr.
To Provision for Gratuity A/c
b. While making payment to the employee Provision for
Gratuity A/c Dr.
To Bank A/c
1) For provision/liability:
Gratuity Dr
To Provision for Gratuity/Gratuity Payable A/c
2) For payment:
Provision for Gratuity/Gratuity Payable A/c Dr
To Bank A/c
What is head of Gratuity Ac
After passing above entry gratuity fund showing minus balance in liabilities side of balance sheet.
You didn't mention about the fund a/c earlier. If you maintain gratuity fund a/c, then you would have paid premium to the insurance company or trust etc right?
Gratuity paid to employee
What for do you have gratuity fund a/c? What entries do you have under the fund a/c?
Recent Topics :
- TDS on Redevelopers hardship allowance received no
- Who will take FSSAI AND TRADE LICENSE: owner or te
- E Way Bill in respect of Without Bringing Material
- FAST DS 2026 query
- Consultation
- E-way notices for FY 22-23
- Gst file not created
- Regarding 3CEB query
- Omitted E-Commerce Sales Reported in Table 14 but
- Omitted sales shown in GSTR-1 Table 14 but not in
Related Topics :
CAclubindia
