Dear Members,
My query is in context to the New FCRA Annual return.
As you are aware, We are making Receipt & Payments,Income & Expenditure and balance sheet for our FC fund. We are in receipt of nos of Projects during the year and some of them are continued for a longer period of 3 to 5years. In certain Projects funding are provided after submission of Utilisation certificate and Expenditure report.
While making the Income & Expenditure statement we are showing such amount as receivable in Balance-sheet and Income recognized are showing in the Income side of Income & Expenditure Account.
While making the receipt & Payments we are only showing the actual receipts & Actual Payments whether receipts are equal to the payments or not, we are showing all receipts & payments for the projects. While doing so in certain cases it is happen that payments are less then the receipts as these all projects are reimbursement basis or reports submitted but fund not yet received from funding agancies.
In form No. FC4, it has been observed that if Payments exceeds then receipts are not considered and we are not able to show such amount even though we have spent money on projects during the year. In earlier form it was not like this. We were able to show all receipts & all payments, whether money received (cash available or not) or not.
You are requested to look in to this matter and please suggest how to show such expenditure (payments) excess then the Project receipt.
It is creating the issue while filling FC-4 online..
With thanks & regards,
D.N.Surati
Chief Accounts Officer
First of all see that your closing balance in Bank ok is in positive (debit) side. There are four options to declare receives when is from foreign source second is from Indian source third is from interest income source and fourth one is other project receives in the 4th one you can easily declare the source of money which is payable as a receipt. Hope this will solve your issues. Also you may reach me at 98100 59507
Regards
Ranjan Gupta
FCA
This is a true situation. Seems a bug in the online FC4 version. Dept should get it corrected at the earliest. Please write to the Dept to get it corrected. However if that is not immediately forthcoming, you would need to do a bit of band-aid work (jugadu). First option, if you have surplus in your FCRA bank account, spend from there. This will create a small variation between your balance sheet and FC4. Balance sheet will show a -ve balance in the project, while FC4 will show positive balance.
In case you do not have surplus funds and are likely to use another project funds, then combine 2 similar projects. So that your -ve balance project turn positive. I don’t really have solution, but just some patch-up. Would like to hear how others are managing such situations.