The Financial Statements disclose the financial position of an entity. It is mainly prepared for analyzing the financial performance, submission of annual returns, filing of income tax returns and sanctioning of loan approvals. E-tax deals with complete finalization of monthly, quarterly as well as yearly financial statements which mainly includes:

Two ways in which an organization can obtain registration are:

• Normal Registration
• Prior permission Registration

• Profit & Loss
  

  This statement reflects the summary of income and expenses of an entity. Income includes what an entity earns and expenses include what an entity spends. The main components of Profit & Loss Statement are:

  • Direct Indirect
  • Direct Expenses
  • Gross Profit
  • Indirect Income
  • Indirect Expenses
  • Net Profit
• Balance Sheet
  

  This statement reflects the summary of assets and liabilities of an entity. Assets includes what an entity owns and Liabilities include what an entity owes. The main components of Balance Sheet are:

  • Non-Current Assets
  • Non-Current Liabilities
  • Current Assets
  • Current Liabilities