If one company is both our supplier and recipient.. can we set off trade payable with receivable? Will there be any issue in terms of taxation? And does fema allow such adjustment?
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Quick Summary
This discussion explores the possibility of offsetting trade payables against receivables when a single company acts as both a supplier and a customer. It confirms that such an adjustment is generally permissible, provided there is mutual consent between the parties involved. The key considerations revolve around potential taxation issues and compliance with FEMA regulations, though the consensus is that these are manageable.