Pre- owned car business , Client managerial issues.

Dear professionals
client is audit Assessee.
Client is only sharing bank statements with me.
bank statement shows transaction entries as per banking standards & narrations which do not provide details about which particular vehicle is sold/purchased & party from whome amount is received or paid.

in this scenario I am not even able to calculate margin on a vehicles for GST purpose. That's the reason failed to calculate and pay outward GST liabilities.
Because of this attitude of client, GST reg is not taken.

Also as an accountant, without complete information I cannot make the ledger of the debtor/ creditors by myself without taking confirmation of those debtors and creditors.

Accounting practice I am following -

1st identify all investments from bank statement and journalise them

2nd identify all the drawings and journalise them

3rd identify loan entries and journalise them

4th I treats large sum in the debit side of the bank statement as business purchases. (without making any creditor ledgers because I dont know debit entrie's details )

and treat large credit entries as sales.

5th Balancing figure as stock and profit.

my Question.

- What I am doing is right or wrong?

- I am using ZOHO Accounting software.

- What I suggest to him to do, so his own accounts shall have all reliable informations.

- Shall I leave such type of clients?


Please guide.








He do not provide me entry wise supporting data.

accounting practice which i am following.