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Deferred Tax

Financial Reporting

answered on 08-Apr-24 17:28

Video No 13 Illustration 3 A Ltd recognises interest income on accrual basis. Interest rate is 25% so DTL is created for 25% But income tax department will tax the same at the rate of 30% when cash is received. On 31st December reporting my entry for 25% is correct. Assuming that I am receiving cash on 6th June or 7th June I have to pay tax to income tax department @ 30% even though last year entry is passed @ 25%. Am I correct. Tax liability to income tax department will not get affected

latest answer

What ever we pay to income tax department will be based on the tax rate applicable. So even if we provide for using 25% and actual rate turns out to be 30%, we will pay at 30% itself.

swaminathan sundaram

swaminathan sundaram

CA Final

110

1

294

Sell call option

AFM

answered on 07-Apr-24 21:28

Sir usually,in sale of call option, our profits are maximum to receipt of premium then why are we taking the buy call option point of view, while computing for Delta i.e Cu-Cd. I mean we should compute from sale of call option point of view. Please explain it sir?

latest answer

Even though for a sell call max profits are premium receipt, in the market the call gets traded. The price of the call keeps changing as and when the stock price keeps changing. When we talk of a hedge, it means profits are locked at current level - so if underlying position gives a profit call will give a loss and if current position gives a loss call will give a profit. explained at 13 minutes. The idea is to look at overall gain / loss of portfolio & not simply at call payoffs alone

Hanumanthu Rajesh

Hanumanthu Rajesh

CA Final

7K+

1

347

General doubt

AFM

answered on 07-Apr-24 20:15

Is this computation correct? Briefly explain how

latest answer

Doubt is solved.

Revathy N

Revathy N

CA Final

9K+

3

344

Credit note and debit note

Direct Taxation

answered on 08-Apr-24 10:54

What is the time limit to issue credit note under GST as per the amendment( if any) ??

latest answer

Thank you sir 🙏

Code X

Code X

CA Final

960

3

322

Permutations

Maths & Stats

answered on 08-Apr-24 12:31

How to solve the 9th question?

latest answer

First find out total 7 digit numbers that are possible which is 7! . Then subtract the numbers divisible by 5 which is 6! . You will get 4320 as the answer. Total numbers is 7 places and 7 numbers that's why 7! Divisible by 5 means last digit has to be 0 or 5. Here we have only 5 which is fixed in units place. Balance 6 numbers and 6 places which will give 6!. Trust this explains your query

Taniya Thakur

Taniya Thakur

CA Foundation

1K+

1

339

Rule 56

Indirect Taxation

answered on 08-Apr-24 09:03

I can't find rule 56 in icai and your material Y

latest answer

It has been discussed more for knowledge.

T swathi

T swathi

CA Inter

1K+

1

210

Ind AS 41 illustration

Financial Reporting

answered on 09-Apr-24 17:32

Sir, Why slaughtering cost has not been taken into Fair value less costs to sell to account for inventory. without slaughtering cost we could not sell the produce know ?

latest answer

We may sell without slaughter as well.

M Naresh

M Naresh

CA Final

3K+

1

182

Surcharge

Direct Taxation

answered on 12-May-24 10:57

If income from other sources: 60 Lakhs Income from Capital Gains: 240 Lakhs What would be the rate of surcharge: 15% on total tax liability through both income Or 10% surcharge on other sources and 15% on capital gains?????

latest answer

80% or more then the deduction is 1.25L.

Nikhil Tiwari

Nikhil Tiwari

CA Final

16K+

6

446

Derivatives

CFA

answered on 08-Apr-24 05:39

Dear Team, Please refer ch 1 for "What is a Forward Contract", would the Discount factor be provided in question to check the PV of future benefit.

latest answer

Explained in quant and several other topics also abt calculator usage. Also calculator comes with instruction manual. Kaplan schweser books also show case calculator steps where required

Namrata Lall

Namrata Lall

CA Inter

0

3

401

classification

Accountancy

answered on 08-Apr-24 17:22

sales tax payable is which account in traditional classification and modern classification?

latest answer

Sales tax is a liability payable to government hence personal.

Bharavi Kothari

Bharavi Kothari

CA Foundation

20K+

3

214