Sales Tax dues converted to Misc. Income

Jay Chakraborty (Section Officer) (127 Points)

22 May 2010  

One company following its accounting manual (not accounting policy) transferred old sales tax demands to miscellaneous income. However, it cannot submit the detailed analysis on the basis of which such adjustment was made. The manual,too, strictly stated that such conversion is to be considered judging the merit of each case. But as of now no such details were not furnished. What to do?