sowmiya.v (ca student) (156 Points)
10 February 2014Dear Friends,
There is a retailer in Tamilnadu selling electronics and household items. The retailer receives gold coins as gift from manufacturers for bulk purchases, under Revised Schedule VI gold coins should be grouped what heads and state the reason also please.
Thanks in advance
ANAND S
(student)
(162 Points)
Replied 10 February 2014
To my knowledge gift received you need not consider for accounting as per companies act and in revised sch VI you have to check nature wise not product any way this gold coin gift will not affect your balance sheet only income tax part you have to check if any requirement is there under companies act let me know under which section and how to account such gifts in business concerns.
CS BHAVIK HARSHAD SHAH
(Company Secretary)
(1662 Points)
Replied 10 February 2014
Hello,
As per my Knowledge, it will not form part of your accounts
because it will not create any asstes or income for the purpose of accounts.
yes it has to be considered under wealth tax if assesse is eligibla for wealth tax return otherwise it will not reflact
but still if you want to recognised as income you have to take notional value & that value is going to get from the recognised valuer .
Thanks
CAclubindia
