Labour tiffin and dinner expenses

Sir, we are a maintenance contractor in steel industry and we paid to labour cash for tiffin and dinner for shut down job please advice in which account head we entry the said expenses
Replies (4)
Quick Summary
A maintenance contractor in the steel industry is seeking advice on the appropriate account head for cash payments made for labour tiffin and dinner during shutdown jobs. Suggestions include 'fooding expense', 'welfare expenses', or 'miscellaneous expenses'. There's also mention of a potential change in accounting practice from 2022, possibly involving capitalization, with a note that official notifications are often sent via email to CEOs.

You can open fooding expense account.
Welfare expenses staff

Miscellaneous expenses and 1% of revenue it must be. Now it changed. It is capitalized in 2022 as well. This is weird MCA system and Companies acts don't have information online!! All the CEO's get an email about notifications so don't worry, write them off or capitalize them, they will let you know the new procedure.

Is it 1% of revenues? 

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