Capitive consumption and sale value

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Santhosh Ganesh (Querist)
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03 November 2014 A company producing Item A and consumes for its own use & it is selling the same to outsiders also.

If item A is an Non Excisible item then should we include the said capitively consumed value in computing the net sales heading of the P&L Account? which is filed to RoC and IT and Annual report

will the stand differ if the ITEM A is Excisibel

Amol S Joglekar

Amol S Joglekar (Expert)
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03 November 2014 It is a prudent accounting practice to prepare manufacturing account and trading account where some of the manufactured material is used for captive consumption, whether or not it is excisable.

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