Sir,
Our company purchased land for Rs. 3 lakhs as per sale deed and paid further 3 lakhs how to account the excess payment of 3 lakhs. what are the tax implications if the same is accounted as goodwill and what is the correct procedure?
Please clarify.
this excess 3 lakh is a clear case of duty evasion. u cannot record it as the cosideration of land. case of goodwill doesnt arise in case of purchase of land. if u paid this amt as cash, then split the amt & record this amount as some other exp.
CAclubindia
