hello friends i have a query. in one case of our tax audit of co for fy 2008-09 there was a demand of rs 38000 of sales tax for f/y 2006-07 which is created by AO in assesment.my question is whether d demand will be shown in p/l as prior period item or not & also whether amt of rs 38000 will be allowed under income tax in a/y 2009-10 & required to be given in audit report annx 3CD under prior period exp debited to p/l a/c since d exp is related for f/y 2006-07 but its amt is ascertained in current year
i m confused regarding its treatment
please clear d provision regarding it
CAclubindia
