IndigoLearn

Final accounts

Should income tax be shown in p&l account ?? In some sums ,income tax is reduced from capital .why ??


Reetikaa  R

Reetikaa R

CA Foundation

4K+

26-Jan-21 18:15

16

Answers (1)

Best Answer

Because it is the tax for the personal income of the owners so it should be reduced from capital of the owners its like drawings


Meda Jeevansai

Meda Jeevansai

CA Foundation

9K+

26-Jan-21 19:15