Where does Import duty and Clearing Charges go in final accounts?
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Subject:
Accountancy -
Author:
shaw -
Created:
1 year ago
Answers 2
Answer:
In case of goods imported from abroad, import duty, customs duty or dock charges etc. have to paid. Since these are related to purchase of goods for resale purposes, these expenses are shown in the debit side of the Trading Account.
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Author:
herrerafnth
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Rate an answer:
3
Answer:
If I assume Import duty and Export duty paid and given in Trial balance then Import duty will be appear Dr side of trading A/c, and Export duty will appear Dr side of P&L A/c.
All expenses relating to purchase of goods are also debited in trading account. These includes carriage inward, freight, import duty, octroi, cartage, clearing charges, and duck charge.
Hope it will help you!
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Author:
peachesreilly
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Rate an answer:
18
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