Tax Audit

This query is : Resolved 

Querist : Anonymous (Querist) 27 September 2010

are we supposed to take average stock(avg+clo/2) in tax audit clause 32 for calculation of stock turnover ratio or only closing stock (of finished goods which is recommended by icai through guidance notes), if answer is closing stock ,is it specified anywhere i income tax act or rule ?

CA Navin Jain (Expert)
27 September 2010

on closing stock

B.Chackrapani Warrier (Expert)
27 September 2010

Page 137 Of "Issues on Tax Audit" an ICAI publication says ratio is to be calculated on closing stock value only.

B.Chackrapani Warrier (Expert)
27 September 2010

Page 47 (volume 115,issue no.1)of "The tax Refencer" a weekly publication of Direct taxes says, there can be different interpretations as to the items involved like gross profit,turnover,stock-in-trade. Place a suitable note explaning the basis adopted.

You need to be the querist or approved CAclub expert to take part in this query .

Click here to login now

Similar Resolved Queries :

× Online Coaching My Enrolled Courses
Articles Forum News Experts Exams Share Files Income Tax Accounts Career Corporate Law Service Tax Video Judgements Rewards Top Members Events Albums Find Friends Featured Feed Scorecard Bookmarks Mock Test Poll Notification Knowledge Finder Coaching Institutes Trainee Corner Jobs
close x
Download GST App    |    x