Membership fees of employee

845 views 7 replies

What should be the treatment of membership fees of golf club paid by company on behalf of employee, in cash. Should it be charged to P&L a/c under head "Membership fees" or what??

Replies (7)

If that membership fee is only for one year, then it should be debited to P&L A/c as employee cost.  But if this fee is for a number of years and the employee is under bond to stay with the company for a number of years, then partly it can be booked in this year and balance could be shown in balance sheet as a current asset.

thanks, sir.

 

it is for 6 months. while crediting cash account, which account should be debited?

As mentioned earlier 'employee cost'.

whether it is recoverable from employee?

if it is not recoverable than earlier said by sharma sir's treatment will be done

thanks a lot................no, it is not recoverable.

If the entire membership fees relates to period prior to 31st March, i.e before date of closing of books of accounts, than the same be booked as expense under "Membership Fees" account, else the proportionate exp. up to 31st March to be booked in "Membership Fees" account and the prop amount after 31st March to be booked in "Prepaid expense" account.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
10 June 2026
Senior Account Executive

JDS Advisory LLP

Ahmedabad

CA Inter

View Details
Company
ARTICLESHIP 20 June 2026
Articleship

RB KESHRI & CO

Mumbai

B.Com

View Details
Company
ARTICLESHIP 30 June 2026
Taxation Content Writer Intern

Interactive Media Pvt Ltd.

New Delhi

CA Inter

View Details
Company
29 June 2026
ACCOUNTANT

SANDEEP AASHISH & CO

Araria

B.Com

View Details
Company
ARTICLESHIP 28 June 2026
Article Assistant

Sharma Chetan And Company

Gurgaon

CA Inter

View Details
Company
ARTICLESHIP 27 June 2026
CA Articled Trainee And Paid Assistant

SKAA & Associates

New Delhi

CA Inter

View Details
Company
24 June 2026
Senior Account (VA Client Operations)

Karbon Business

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 30 June 2026
Article Assistant or Paid Assistant

VIKAS VERMA & CO

New Delhi

Others

View Details