Please help in accounting treatment for sponsership amount received from vendor for renovation of the restaurant, Vendor has deposited the GST under reverse charge and also deducted TDS @ 2%, but what should be the treatment in accounts for sponsership amount received, whether it should be trated as revenue and capitalise the renovation expense or we have to net off the sponshership amount with the renovation amount which is more than the sponsership amount received so excess amount only will be capitalised????
CAclubindia
