Pavan,
The way I skin em' is to make a cut just below the tail, just deep enough to get a good foot on. step on the base of the tail where you just cut grab by the back legs and pull up like you are gonna pull off the back legs (be careful you might if you get too carried away), this shoud start the skin coming off then about half way up through the squirrel stop and then put a finger in each area of the lower legs where the skin has come off of the squirrel (It'll look like he's wearin pants. pull down and away with one hand while pulling up and away with the other hand, which should have most of the rest of the squirrel hide in it). Should leave ya with a squirrel with his pants around his ankles and his shirt over his head and arms, (should look a lot like the scene right before he came home with you, LOL!). Cut off at wrists, head and ankles, and viola! You should be ready to remove guts and be just about ready for the best part....EATING! Hope this helps Pavan, good luck.