02-12-2009, 07:54 PM
There are many conflicts in companies and I. Tax ordinance regarding maintenance of accounts. Some of them are major while others are minor in nature.
The main issue is keeping the accounting record. According to sub section 6 of section 230 of companies Ordinance,1984
The books of account of every company relating to a period of not less than ten years immediately preceding the current year shall be preserved in good order
Provided that, in the case of a company incorporated less than ten years before the current year, the books of account for the entire period preceding the current year shall be so preserved.
According to sub Rule 4 of rule 29 of I.T Rules 2002
"The books of account, documents and records to be maintained under this chapter shall be maintained for five years after the end of the tax year to which they relate."
This is a big issue even for some small and medium organization because thousands of vouchers are prepared each year so it is very difficult for a company especially to keep record for ten year .Although the I. Tax Rules 2002.
Although according to rule 30 of I. Tax Rules 2002 the books and accounts, in case of company, whose income is chargeable to tax, shall maintain the books of accounts according to companies ordinance 1984.
The main issue is keeping the accounting record. According to sub section 6 of section 230 of companies Ordinance,1984
The books of account of every company relating to a period of not less than ten years immediately preceding the current year shall be preserved in good order
Provided that, in the case of a company incorporated less than ten years before the current year, the books of account for the entire period preceding the current year shall be so preserved.
According to sub Rule 4 of rule 29 of I.T Rules 2002
"The books of account, documents and records to be maintained under this chapter shall be maintained for five years after the end of the tax year to which they relate."
This is a big issue even for some small and medium organization because thousands of vouchers are prepared each year so it is very difficult for a company especially to keep record for ten year .Although the I. Tax Rules 2002.
Although according to rule 30 of I. Tax Rules 2002 the books and accounts, in case of company, whose income is chargeable to tax, shall maintain the books of accounts according to companies ordinance 1984.
