Dear Sir/Madam!
I need a clarification regarding the taxation procedure for the prior period income.
Ex: if profit for the current yer is 2500000 excluding prior period income
prior period income is 200000
so, what should be the tax to be paid in the current year.
as per as 5 prior period item arise due to any mistake in previous year(i.e. due to calculation, totaling error)
If this kind of error exist in your financial statment then check in previous year tax has been charged on it or not.
if not then charge tax on it in current rate. if already charged then no effect.
CCI
Pro
CAclubindia
