Capitalisation of import cost to stock item
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
20 April 2012
Hi
We have imported certain electronic goods for sale in India. We have paid Custom Duty, Import Duty, Freight & Other charges towards Import of Goods.
We are a Partnership Firm.
Is it necessary to Capitalise the Import Cost to the Stock Item OR it can be shown separately under the Direct Expenses in Trading Account.
Is there any rule/law to Capitalise these import cost
We have imported certain electronic goods for sale in India. We have paid Custom Duty, Import Duty, Freight & Other charges towards Import of Goods.
We are a Partnership Firm.
Is it necessary to Capitalise the Import Cost to the Stock Item OR it can be shown separately under the Direct Expenses in Trading Account.
Is there any rule/law to Capitalise these import cost
CA Kishore Tallam
(Expert)
20 April 2012
See AS 2 Inventories which says amounts which are attributable to the inventories has to be included in the cost.
AS 2 will be applicable to u if u r sujected to tax audit.
AS 2 will be applicable to u if u r sujected to tax audit.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Gst credit note by supplier
- Reward for festival
- 18% Rent a cab
- Missed uploading GST Invoice
- Movement of goods by packers and movers - type of sale - Reg.
- ARCA LOGIN
- Closer of business and itc of capital goods
- Accounting Treatment of Civil work to install PORTA Cabin for office use
- Appointment of Auditor By Form ADT-1
- Gratuity paid to legal heir above 20 lakh is taxable or not
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- "Please ensure that the Total of the Deductions u/s 54F match the same in Table D in Sch CG"
- Need to correct "Whether it is last installment " response in Form 26 QB
- " Income from House Property " in joint names of co-owners
- REGARDING TDS RETURN OF FORM 27Q
- Notice under e-Verification Scheme
- GST demand notice for ITC reversal against exempted supply.
- RCM ON SECURITY CHARGES FROM INDIVIDUALS
- How to get money back from delisted company
- ITC not to be taken in accounts & GSTR-3B
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
