Reversal of ITC on Stock Write off
This query is : Resolved
Himmat Singh Rathore
(Querist)
23 April 2022
Dear Sir,
We are dealing in trading of imported Non-coking coal. Due to nature of Item we have difference in physical and actual stock of goods. Now we want to write off differential stock in books.
In non-coking coal GST charge @ 5 % and Compensation cess 400/- per MT.
My query is we need to reverse ITC and Cess in case of normal loss ?
The loss of goods is not in our control.
We are dealing in trading of imported Non-coking coal. Due to nature of Item we have difference in physical and actual stock of goods. Now we want to write off differential stock in books.
In non-coking coal GST charge @ 5 % and Compensation cess 400/- per MT.
My query is we need to reverse ITC and Cess in case of normal loss ?
The loss of goods is not in our control.
23 April 2022
Instead of writing off the difference in accounting records , shortage in quantity, you should value your closing stock on the basis of physical stock and pass stock journal for variation in quantity.
Message likes :
1 times
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 input credit on commercial property
- GST REFUND ISSUE ON PURCHASE OF PLANT AND MACHINERY
- TDS on Dashcam rent and allied services
- Import Order Cancelled.
- Working on Gold wastage during Melting of old gold jewellery
- GSTR-9C filing
- GST ITC as per notification 12/2023- central tax
- Urd purchase entry in tally prime
- How do you manage client document collection and follow-ups in your CA/CS practice?
- Royalty payments to the Mining Department for procurement of murum - GST input
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
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
