Balance sheet and profit and loss account

[PANKAJ CHUGH]

Hi

Kindly guide on following

1. Dealer has rental income for an amount of rain 2.5 crore during the FY.

Whether he is required to prepare balance sheet and profit and loss account for Gst purpose.

Thanks

AI Summary

Rental Income Over 20 Lakhs Requires GST Compliance; Audited Accounts Needed for Turnover Over 2 Crore A forum participant inquired about the necessity of preparing a balance sheet and profit and loss account for GST purposes, given a rental income of 2.5 crore. Responses clarified that if rental income exceeds 20 lakhs annually, GST registration and compliance are required. Although the CGST Act does not explicitly mandate balance sheets, audited annual accounts, including financial statements, are necessary for turnover over two crore. These financial statements, which include balance sheets and profit and loss accounts, are essential for filing GSTR 9C. Participants agreed on the importance of maintaining these documents for both GST and income tax purposes.