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Hi I am one of the experts. Answers to you questions are given below.
1. If shares are sold, and there is a gain, where does this gain get reported in the company accounts?
Ans. Yes2. And I presume this then goes on the Company Tax Return too?
Hope I have answered your question?
Ans is Yes it will be reported in the company Accounts. Is that clear now?
I am an Accountant and this is what I do normally every day. I have clearly answered your question that since company has invested into Shares then any such gain should be reported in the company's accounts because this is the investment of the company. Ok?
Company statutory Accounts means full set of Accounts and this gain should be reported in that. Hope now it is all clear?
Answers given below:
My question is WHERE does this go in the company accounts?! For instance, "profit & loss on disposal of assets," or within "turnover" (obviously not but an example), or where? As in whereabouts in the accounts does the gain go?
Ans. You have sold investment which is the Asset in the Company Accounts. So, this is the gain from the Disposal of an Asset and should be reported in the P&L.
Normally there is an Account in the P&L which we use for the Gain arisen via the selling of an asset. Please use that account.
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