Pla entry in books

PLA is shown as an current Asset in the B/s. The amount is paid by way of advance to the excise authorities if the excise duty payable falls short of the input credit When the payment is made the below entry is psoted:

PLA   Dr

To- Bank A/c

When the Input Credit for excise duty & service tax paid falls short of the duty liability payable, then the amount from PLA is utilized.  the below entry will be passed for utilization of PLA balance:

Excise Duty    Dr

To-Input Credit on ED

To-PLA A/c