Very very urgent accounting query

our co. had made a payment of rs 5.50 lacs on behalf  of our client ,as a membership fees of golf club, how to deal with this entry and under wht head, any decided case law 

Replies (6)

Dear Manik,

 

Accounting entry does depends on the terms agreed in the contract with your client like whether it is reimbursable or not.

Also depending upon the business nature of your company and frequency of such transactions it can take a suitable place in your chart of accounts. Information provided by you is not sufficient  to comment upon.

It can be taken in to Business promotion expenses presuming your company is paying it for the services to be utilized by your client.

Thanks 

" A learner"

ours is construction co, and we had paid the sum on belalf of  the client ( his personal expenditure) and the same is not recoverable from the client.

Yes as rightly stated by our friend it can be taken as Business Promotion  Expenses,but for the purpose of IT the business expediency is to be proved.

kkm

Originally posted by : Kolluru Krishna Murty

Yes as rightly stated by our friend it can be taken as Business Promotion  Expenses,but for the purpose of IT the business expediency is to be proved.

kkm

Agree with the same as suggested by Mr. Krishna

Hi Every One.....

Because of this type of situations we can take signature in stamp paper which includes all type of expenses which we can take most in our favour and avoid penal action taken by IT i.e we have proof of signature on stamp paper....

 

Thanks...............

what is the difference between road tax and token tax

 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
17 September 2026
Chartered Accountant

Dass Gupta & Associates

Gurgaon

CA

View Details
Company
Featured 03 October 2026
Accountant

A P Lodha and Associates

Jalna

B.Com

View Details
Company
ARTICLESHIP 30 September 2026
CA Article Assistant

CA Suraj Garg & Associates

New Delhi

CA Final

View Details
Company
20 September 2026
Semi Qualified CA

Navin & Associates

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 15 September 2026
Freelance Taxation Content Writer Intern

Interactive Media Pvt Ltd.

New Delhi

CA Inter

View Details
Company
19 September 2026
Finance Manager

Mugdha Art Studio

Hyderabad

CA

View Details
Company
10 October 2026
Accounts Associate Level 1

Abic and Mani Chartered Accountants

Kottayam

B.Com

View Details
Company
Featured 21 September 2026
Consultant - Reporting

Finrep Advisors LLP

Mumbai

CA

View Details