Easy Office

Valuation of closing stock

This query is : Resolved 
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
29 January 2015 Dear Experts,

One of my client valued stock at market price which is greater then cost. for example cost is 40 lacs and market price is 50 lacs. and the same stock is sold for Rs. 50 lacs in next year.

does it will results any direct tax or indirect tax evasion

Please answer on urgent basis
Profile Image

CS,CA F,Numrologi TusharSampat

Profile Image

CS,CA F,Numrologi TusharSampat (Expert)
29 January 2015 no, it is against Accounting standard 2 valuation of inventory and should be valued at 40 lacs only
Profile Image

Rupesh Jain

Profile Image

Rupesh Jain (Expert)
29 January 2015 you can not make valuation on market price.

you have to pay vat on sales value.




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

CAclubindia's WhatsApp Groups Link


Similar Resolved Queries


loading


Unanswered Queries


Easy Office

Trending Online Classes

view all classess
CCI Pro


Answer Query



Quick Links