Accountancy Forum

AOA
i am writing an example case of advance tax please advice the best solution.

ABC is a carriage company, charge Rs.75,000/- for delivering 35000 KGs of XYZ material from karachi to lahore. due to negligence of carriage company 15 KGs of material is lost. at the time of payment the payee's company deduct the amount of 15 KGs of material (e.g. price of material is Rs. 40/KG) and advance tax as well. there are two ways to calculate the tax

1.
Freight Charges 75,000
Panelty 15*40 (600)
net payable 74,400
advance Tax @ 2% (1488)
Net payment 72912

2.
Freignt Charges 75,000
Advance Tax @ 2% (1500)
Net payable 73,500
Panelty 15*40 (600)
Net Payment 72,900

Which is the correct way as per tax treatment and accounting treatment as well.

Regards.

Bechara Seven Thousand , NO answer ( .

Iis forum mai larki ban kar yeh sawal kia hota to aik hazar utpatang answer aa chooka hota .

U know , what is the difference between these so called Future Professionals and a Bus conducter ? ? ?

Simple Plain ...None .

A conducter is illiterate these are quasi -literate but whenever the issue of a female comes , all of them goes goo goo gaa gaa )

So take my advice , larki baan kar dekho , u will have a lot of answers ............... azmaish shartt hay )