Accounting and bookkeeping are essential financial management processes that involve recording, organizing, and summarizing financial transactions of a business. Bookkeeping focuses on daily transactions like sales and expenses, while accounting includes interpreting, analyzing, and reporting financial information to stakeholders for decision-making. Together, they ensure financial transparency, compliance with regulations, and strategic financial planning for businesses of all sizes.
Corporate expense is required on the organizations, regardless of whether homegrown or unfamiliar. In India, the Income Tax Act, 1961 administers the arrangements of charging corporate expense to organizations. The worldwide pay of the organizations enlisted in our nation is covered for tax assessment under this. For foreign companies, only the income earned or received within India is subject to corporate tax. Lex N Tax Associates provides Best Corporate Tax Services In Delhi. Accounting and bookkeeping services encompass a range of financial tasks and activities aimed at recording, organizing, and managing a company's financial transactions, ensuring accuracy, compliance, and transparency in financial reporting.
Accounting and bookkeeping professionals record all financial transactions of a business, including sales, purchases, expenses, receipts, payments, and other monetary activities. Transactions are recorded systematically and accurately using accounting software or manual ledger entries.
A chart of accounts is established to categorize and classify financial transactions into specific accounts, such as assets, liabilities, equity, income, and expenses. Accounting professionals set up and maintain the chart of accounts tailored to the unique needs and structure of the business.
Accounts payable management involves recording and tracking payments owed by the business to suppliers, vendors, creditors, and other parties. Accounting professionals maintain accounts payable ledgers, track payment due dates, and process vendor invoices for timely payment.
Accounts receivable management involves recording and tracking payments owed to the business by customers, clients, debtors, and other parties. Accounting professionals generate invoices, track customer payments, follow up on overdue accounts, and reconcile receivables to ensure timely collections
Bank reconciliation is performed to ensure that the business's financial records match the transactions recorded in its bank statements. Accounting professionals compare bank transactions with the company's accounting records, identify discrepancies, and reconcile differences to ensure accuracy in financial reporting.
Accounting professionals prepare and generate financial statements, including the balance sheet, income statement, cash flow statement, and statement of retained earnings. These financial reports provide insights into the company's financial performance, position, and cash flows over a specific period.
Accounting professionals assist in the development of budgets, forecasts, and financial projections based on historical data, market trends, and business objectives. Budgeting and forecasting help businesses plan and allocate resources effectively, monitor performance, and achieve financial goals.
Accounting professionals prepare and file various tax returns, including income tax returns, sales tax returns, payroll tax returns, and other tax filings required by regulatory authorities. They ensure compliance with tax laws, regulations, and filing deadlines to minimize tax liabilities and penalties.