Income tax paid amount in PL

prasad Nilugal

GST Practitioner & Accounts

15093 Points Posted on 25 September 2023

What is status of your Claint ?. Sole proprietorship, partnership firm, Company or LLP or any other please clarify.

Eswar Reddy S

CFO- at NHTF

58280 Points Posted on 25 September 2023

Income Tax is a liability and which is balance sheet item.

But companies just disclose it sch III format but it is not relevant for IT Computation.

PBT : Profit Before Tax is the base

Himanshu Agarwal

Proprietor

186 Points Posted on 25 September 2023

Status of client is individual

Aalam Sheikh

CSR

72 Points Posted on 25 September 2023

Capital account in case of proprietor

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 26 September 2023

Yes I agreed with Mr Aalam Sheikh

sabyasachi mukherjee

Profession Business

28207 Points Posted on 26 September 2023

Income tax paid amount paid in pl

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 26 September 2023

Originally posted by : sabyasachi mukherjee
	Income tax paid amount paid in pl

Super Super..

Eswar Reddy S

CFO- at NHTF

58280 Points Posted on 27 September 2023

Income is not an operational expense and generally it's not form part of P and L

sabyasachi mukherjee

Profession Business

28207 Points Posted on 28 September 2023

Income tax paid amount in pl

N. A

JOB

45 Points Posted on 28 September 2023

If any amount is withdrawn by the owner for personal use, that is considered as drawing and debited to drawing account. Drawing amount will be deducted from the capital account.

Income Tax paid is a personal expense of the owner, hence this has to be debited to drawings account.

sabyasachi mukherjee

Profession Business

28207 Points Posted on 28 September 2023

It is charged to Pl account.
first provision of outstanding liability for tax for current year
pay the provision for outstanding liability for tax.

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 28 September 2023

It's under capital account for proprietor...

Shaw Randolph

2 Points Posted on 02 October 2023

It is charged to the Pl account. initial provision for outstanding tax liability for current year pay the provision for outstanding tax liability. geometry dash scratch