What should be the right valur for Gross Receipts shown in Profit & Loss A/c if:-
In Form 26 AS gross receipts are shown on actual receipt basis. In Service Tax returns, value is on actual receipt basis. In bank obvious it is shown as it is received. But in Profit & Loss A/c year ending figures are also shown which are received in April in the next year.
Kindly clarify me what is the right method to enter the transactions-whether on bill wise or on actual receipt basis.
what type of transactions are those....??
These are Conract Basis Transactions.
if the bills have been raised by you in the previous year then show them in the previous year and if the bills bear the current year dates, then show them in the current year.
but as u have said in service tax return value is on actual receipt basis, you must have raised the bills after 31st march.
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
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