Please sort out this query

If u have already expensed out that advances in the F.Y. 2006-07, then where is the question arises for their settlement? Please be more clear & specific

Dear vipin..thanks for ur early reply..in my question i said i provided for expenses in 2006-07(provision) not setllement. Subsequently amount is not recoverable in cash or expenses(bills). Now comapny wants to write off that amount from provisions. i want to know what entry i have to pass? I hope u understood vipin.

Dear Shri Sathyanarayan Ji,

If you have already created a provision against the said advance, you will need to pass the following entry to write off the advance:-

Provision A/c Dr.

To Advance to Employee A/c

Regards,

Anand Bhardwaj

thanks anand