Wrongly accounting treatment & GST Code
Last year i am wrongly recorded Deemed Supply for profit from sales of shares where it is supposed to be Out Of Scope.
Dr. Cash 106,000
Cr. Profit From Sale of Shares 100,000
Cr. Output Tax (DS) 6,000
Since we are already finished our audited account. My Question is;
1. Can i reverse the Output Tax transaction and recognise the profit in this year? in term of GST rules, is this allowed?
2. Do i have to inform the RMC about this matter or just make a reversal transaction in account.
I really hope anyone can help me to answer this question.
1. You may refer to your auditor regarding the profit to recognize in this year. In GST part, yes you may reverse the transaction in current year.
2. You may use your TAP to make amendments for your GST03. Once approved RMCD will notify you. However, this may subject to RMCD desk audit in order to clarify the transactions is genuine or not. Then only they may refund you the excess output tax paid earlier.