Import purchse accounting

Hellooo Caclubindia,

 

pls let me know in detail the entire process to book an import purchase in the books with respect exchange rate, duties payable & foreign exchange loss/profit .

 

Best regards

navin.

Replies (3)

Import purchases

exchage rate = bill of entry custom exchange rate

date of booking may be bill of entry date / MRN date/inv date  as the case may be

it all depends on your purchase terms(Wheher it is ex-works, or FOB, CIF)

what ever it is 

transaction of import should be recognised when all risks and rewards of ownership transfered to company  

 

 

 

and the difference between the exchange rate as at the date of the transaction and as at the date of settlement thereof should be recognised as income or expense,  depending on the nature of the item to which the exchange difference(s) pertain, as per the requirements of AS 11,

Note:

if purchases is asset it should be adjusted to cost of asset as per AS11 and should not treat fluctuation as income or expence

In general RBI exchange rates will be used for forex fluctuation entries

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
22 September 2026
Account Assistant

Chirag P Shah & Co. Chartered Accountant

Pune

B.Com

View Details
Company
13 October 2026
Accountant

Zerdi & Co. Chartered Accountants

Pune

B.Com

View Details
Company
12 October 2026
AUDIT , ACCOUNTS AND TAXATION

KDSS

New Delhi

B.Com

View Details
Company
ARTICLESHIP 16 September 2026
Article Assistant

MANUJ SHARMA AND COMPANY

Noida

CA Inter

View Details
Company
19 September 2026
Finance Manager

Mugdha Art Studio

Hyderabad

CA

View Details
Company
17 September 2026
Chartered Accountant

Dass Gupta & Associates

Gurgaon

CA

View Details
Company
ARTICLESHIP 01 October 2026
Articled Assistant

KPSN & Associates LLP

Chennai

CA Inter

View Details
Company
07 October 2026
Senior Account Manager

Amplio Invest

Mumbai

M.Com

View Details