I want to ask about how I will the following situation in Financial Statements of a General Provident Fund Trust. I'll draw the picture here. Let's say it is written in local rules that is it compulsory for an employee who has completed 2 years of service in a government to subscribe to a fund trust. After 2 years due to whatever the reason let's say administrative lapse, employee didn't subscribe to the fund and didn't start having his subscription deduct from his salary. It goes on for a year when authorities wake up and start deducting his subscription. Now the question is, Should I book the 1 year(for which no subscription is deducted/received) as Receivable from the employee. At the end of his service, this Receivable shall be adjusted against the amount payable by the Trust. Or, Should I just start from the 3rd year and only book the payable. Hope I was able to paint a clear picture. Thank you in advance.Appreciate your help. Regards, Awais
