Accounting theory question

Federal Income Tax or Corps. Advanced topics such as financial tax accounting concepts, employee compensation, related party transactions and tax planning are also included. Advanced Management Accounting Duration:

Accounting theory question

Salary Theory, FAQ and MCQ Advance learning on tax treatment of various forms of salary like bonus, overtime pay, salary in lieu of notice period, etc. Theory Tax treatment of advance salary Advance salary received by an employee is taxed in the year of receipt.

Accounting theory question

The rule behind this is the basis of taxability of salary, i. However, an employee can claim relief under section 89 discussed later in respect of advance salary. Illustration In March,Mr.

Master of Accounting (MAcc) | Schulich School of Business

Kumar received advance salary of Rs. In which year advance salary will be charged to tax? Thus, advance salary of April, received in the yeari.

Arrears of salary Arrears of salary received by an employee are taxed in the year of receipt if the same were not taxed earlier on due basis.

Accounting theory question

However, an employee can claim relief under section 89 discussed later in respect of arrears of salary. Sunny received arrears of salary of Rs. The arrears were not taxed earlier on due basis. In which year arrears will be charged to tax?

G. Removed by Financial Reporting Release (FRR) 55

In this case, the arrears of Rs. Tax treatment of bonus Bonus received by an employee is charged to tax in the year of receipt. Relief under section 89 can be claimed in respect of arrears of bonus received during the year. Illustration Apart from regular salary, in March,Mr. Sunil received bonus of Rs.

In this case bonus will be charged to tax in which year?

STAFF ACCOUNTING BULLETIN NO. 99

In this case, bonus is received in March, and, hence, will be charged to tax in the previous year Tax treatment of fees or commission Fees or commission received by the employee from the employer are charged to tax as salary income.

Commission will be taxed as salary income, irrespective of the fact that it is received as fixed monthly amount or is received as a percentage of any particular item like turnover achieved by the employee. Kapoor is working in Essem Ltd.

Apart from his routine pay of basis salary and various allowances amounting to Rs. During the year he had achieved sales of Rs. Company paid him commission of Rs. What will be the tax treatment of commission? Commission will be taxed as salary income, irrespective of the fact that it is received as fixed monthly amount or is received as percentage of turnover.

In this case, the commission of Rs. Soham is working in SM Ltd.Production is a process of combining various material inputs and immaterial inputs (plans, know-how) in order to make something for consumption (the output).

It is the act of creating output, a good or service which has value and contributes to the utility of individuals.. Economic well-being is created in a production process, meaning all economic activities that aim directly or indirectly to. As an Enrolled Agent with years of experience, our Bellevue, WA accountants work to maximize your savings with professional accounting & tax preparation.

Accounting headline (SEE END OF TUTORIAL 2 QUESTIONS) discusses how European banks were able to lobby the European Union (EU) so as to be regulated by a ‘watered down’ version of the accounting standard IAS The Theory-Theory of Concepts. The Theory-Theory of concepts is a view of how concepts are structured, acquired, and deployed.

Concepts, as they will be understood here, are mental representations that are implicated in many of our higher thought processes, including various forms of reasoning and inference, categorization, planning and decision making, and constructing and testing . Does anybody know or have any links to websites describing details of how to design a database schema for a double entry accounting system??.

I did find a bunch of articles but non were very. Past Examinations Question Papers in Kenya. Find past years question papers for universities, colleges and schools in Kenya.

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