banner_ad

journal entry for addition tax paid for last year assessment

Accounting Entries 2093 views 4 replies

what is the journal entry for additional tax paid for last years assessments anc can we book this payment as an expenses in current year books or do we need to book it to the pertaining year only

Replies (4)

I think this should be the current year expense..

if income tax paid is not allowed as expense so it should be charged to owner's equity however interest part can be booked as expense.

Thanks, but what would be the journal entry for these kind of payments?

The entry will be...

Provision for Tax (L.Y.) A/c ...........Dr.                                       xxx

Profit & Loss (for excess tax liab.) A/c ............................Dr    xxx

              To Advance Tax Paid/TDS A/c (if any)                                            xxx

              To Cash/Bank A/c                                                                             xxx

(Cash or Bank A/c shall credited with the amount of excess tax paid pertaining to last year.)


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Related Topics
Loading
Company
26 May 2026
Senior Accountant cum purchase Manager

Vardhaman Group of India

Pimpri Chinchwad

CA Inter

View Details
Company
29 May 2026
Finance Head

Bhawar Sales Corporation

Chennai

Graduate (Any)

View Details
Company
26 May 2026
Audit executive

vdsr & co LLP

Chennai

CA Inter

View Details
Company
Featured 26 May 2026
Account Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
10 June 2026
Senior Account Executive

JDS Advisory LLP

Ahmedabad

CA Inter

View Details
Company
ARTICLESHIP 15 May 2026
ARTICLE ASSISTANT, TRAINEE AND PAID ASSISTANT

YOGESH KAPOOR AND ASSOCIATES

New Delhi

B.Com

View Details
Company
16 May 2026
Audit clerk

mgirt & co

Bengaluru

CA Inter

View Details
Company
22 May 2026
Sr. Financial Analyst - Consolidation

Search Synergy

Mumbai

CA

View Details