Cash Ledger Theory

Last updated at April 16, 2024 by

Example 1

Particular Amount
Output GST 300
Input GST 272
GST Payable 28

Now I have to deposit this 28 with government

In GST,we do not have to pay this 28 directly

I deposit 28 in my cash ledger and government deducts 28 from my cash ledger

Prepare cash ledger

 

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Example 2

Particular Amount
Output GST 300
Input GST 272
GST Payable 28

Suppose I deposit 30 in my cash ledger. Prepare cash ledger.

 

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Example 3

Suppose next month Output is 400,Input is 350,so GST Payable =50

How much challan I have to pay?

Prepare cash ledger

 

Since I have to pay 50 and have 2 opening

I have to pay 48

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Example 4

Suppose next month Output is 500,Input is 520,so GST Credit =20

How much challan I have to pay?

Prepare cash ledger

 

There is no need to pay challan as it is GST Credit

4.jpg

 

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CA Maninder Singh

CA Maninder Singh is a Chartered Accountant for the past 14 years. He also provides Accounts Tax GST Training in Delhi, Kerala and online.