Inter company Transactions

hi,

There is a Pvt Co. which has stopped its operations 5yrs ago, where as it is not liquadated. The exp's of this co. are in the nature of personal exp's of directors. and the source for these exp's is inter compnay deposits which are in the form loan given by other sister concerns.

The same procedure is being carried on yr after yr. and the Income Tax losses are being carried forward.

What is the correct treatment to be done?

Plzz clarify?

Replies (1)

Personal expenses can not be debited to the company's P&L Account. Writing back all thoseitems is the right thing to do.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
15 October 2026
Senior Accountant

Continental Belting Pvt Ltd

Mumbai

B.Com

View Details
Company
12 October 2026
AUDIT , ACCOUNTS AND TAXATION

KDSS

New Delhi

B.Com

View Details
Company
ARTICLESHIP 17 October 2026
Articled Assistant

RRPM & Associates LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 01 October 2026
Articled Assistant

KPSN & Associates LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 23 October 2026
CA Articleship / Article Assistant

M N Rao & Associates LLP

Vijayawada

CA Inter

View Details
Company
06 October 2026
Assistant Manager - Audit and Compliance

Ravi K Jain & Co

Noida

Others

View Details
Company
24 October 2026
CA Industrial Trainee

Fytomax Nutrition Private Limited

Aurangabad

CA Inter

View Details
Company
12 October 2026
Finance

I-Genext Consulting Private Limited

New Delhi

CA

View Details