Page 329 - DCOM201_ACCOUNTING_FOR_COMPANIES_I

Accounting for Companies-I

Notes (2) Contribution to provident and other funds.
(3) Workmen and staff welfare expenses to the extent not adjusted from any
pervious or provision reserve.

Notes Information in respect of this item should also be given in the balance sheet under
the relevant provision or reserve account.
(g) Insurance
(h) Rates, and taxes, excluding taxes on income

(i) Miscellaneous expenses, provided that any item under which the expenses
exceed 1% of the total revenue of the company or 5,000 whichever is higher,
shall be shown as a separate and distinct item against an appropriate account
head in the profit and loss account and shall not be combined with any other
items to be shown under ‘Miscellaneous Expenses’.
(xi) (a) The amount of income from investment distinguishing between trade
investment and other investment.

(b) Other income by way of interest, specifying the nature of the income.
(c) The amount of income tax deducted if the gross income is stated under sub-
paragraphs (a) and (b) above.

(xii) (a) Profits or losses on investments showing distinctly the extent of the profit and
losses earned or incurred on account of membership of a partnership firm, to
the extent not adjusted from any previous provision or reserve.

Notes Information in respect of this item should also be given in the balance sheet under
the relevant provision or reserve account.
(b) Profits or losses in respect of transaction of a kind not usually undertaken by
the company or undertaken in circumstances of an exceptional or non-
recurring nature, if material, in amount.
(c) Miscellaneous income.
(xiii) (a) Dividend from subsidiary companies.
(b) Provision for issues of subsidiary companies.
(xiv) The aggregate amount of the dividend paid and proposed and stating whether such
amounts are subject to deduction of income tax or not.
(xv) Amount, if material by which any items shown in the profit and loss account are
affected by any change in the basis of accounting.
4. The profit and loss account shall also contain or give by way of a note, detailed information
showing separately the following payments provided or made during the financial year
to the directors (including managing directors) or manager, if any, by the company, the
subsidiaries of the company and any other person:

(i) managerial remuneration under Section 198 of the Act paid or payable during the
financial year to the directors (including managing directors) or manager, if any;

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