☼ Pass the Accounting Entry in Day book only when any expenses paid in cash/ check / credit card or when income received in cash / check / credit card under Cash method of accounting
☼ Pass the accounting entry in day book only when any expenses due or any income receivable on maturity date under accrual method of accounting
☼ U.S. federal Law of income taxes allow only cash method of accounting
☼ Indian Income tax law accepts accrual method of Accounting .
☼ The all-events test, under U.S. federal income tax law, is the requirement only taxpayer who are using accrual-method of Accounting
☼ No need to clear all event test to the taxpayer who are using cash method of accounting .