Treatment of unclear balances accounted prior to 31st March

Hello Sir,

We have received a cheque in USD from a foreign donor on 14/03/14 and have deposited the same in our FCRA Account on 14/03/14. But the cheque got credited in our Bank Account on 02/04/14. Since, Financial Year changed in between deposit and credit of the cheque, do we need to book it in March’14 or April-14. If I book it in March-14, will it be problem as we have to submit Bank Statement along with our FCRA Return.


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2 Responses to Treatment of unclear balances accounted prior to 31st March

  1. Subhash Mittal says:

    Dear Pragya,

    Since the cheque has been deposited in your bank account within March, it should be accounted for within March’14. Even if the effects have not been cleared within Mar’14, the entry would remain uncleared in your Bank Reconciliation Statement (BRS), and therefore any subsequent query can easily be explained. I am sure similarly you must have issued cheques by 31st March which have not cleared the bank. Hence differences between book balance and bank statement balance can be easily explained through BRS.

    I think not accounting within March may even attract your auditor’s adverse comments.



  2. N. M. VALAN says:

    Dear Sir,

    When ever money is crediting our account the same day you take it in to account .for this case crdit is taken place April014 you can take the credit this F.Y.2014-15.If you want take to last F.Y with out amount how can account it. .


    Manager- Admn.Finance
    Caritas India,CBCI Centre,1 Ashok Place,Gole Dakkanna,New Delhi – 110 001

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