Income Report

[Wm]

Wed, 23 Jul 2014 17:23:44 <201407231723.45255.vikas at techqual.com>  Vikas 
Damodar Garud <vikas at techqual.com>

>On Tuesday 22 Jul 2014 11:13:20 AM Narendra Shah wrote:
>> Dear Vikas,
>>
>> I do not know much about GnuCash, but your question seems to be purely
>> accounting related and not software related.
>
>SNIP,
>
>Thank you Narendra Shah, Maf. King and Mike or Penny Novack.  Not being an
>accountant, I missed out on clearing that my accounting is cash basis - That
>is allowed in India and my business is small and simple - One man professional
>consultancy.  Cash accounting is sufficient for my needs, I will continue to
>use this.
>
>As Maf. King has suggested, I had run the transaction report on Bank and Tax,
>filtered by the dates for the accounting period.  However, it does not tell me
>the amounts actually credited by customer to my account (as sum of amount
>credited to my bank account and that credited to my tax account).  I need to
>calculate the amounts actually credited for compiling the tax return.

I don't understand.

Regardless of accounting basis surely you know how much you have banked?

Or is the issue that you aren't producing invoices in the first place 
and want to "reverse calculate" a tax amount for random cash amounts you 
receive?

e.g.

I do some work for someone
I do *not* invoice them
they give me a random amount of money
what is the amount *they* effectively paid in tax?

Is it something like that?

If so surely you create an invoice for the amount received + tax when 
you receive it.  The amount received goes to bank/cash and the 
calculated tax amount goes to the same place as your purchase tax 
offsets.  Some time later you work out the in and out difference and 
declare that.

Am I misunderstanding how things work in India, Narendra?


-- 
Wm