Tax audit
This query is : Resolved
25 August 2013
please tell how to report stock details in Form 3cd in case it is not possible to calculate item wise stock details due to large numbers of items.
CA PARAS BAFNA
(Expert)
25 August 2013
Tax Audit is required to be conducted in the
case of the larger assessees and by not providing the stock details purpose of tax audit is not served.
.
In case where large number of stock items are there , select those items which are significantly traded. You may provided the details about the principal items of goods.
.
case of the larger assessees and by not providing the stock details purpose of tax audit is not served.
.
In case where large number of stock items are there , select those items which are significantly traded. You may provided the details about the principal items of goods.
.
Message likes :
1 times
25 August 2013
what to select in case of stationery shop having turnover just more than Rs 1 Crore?
all the items are of equal significant in terms of value?
all the items are of equal significant in terms of value?
Ganeshbabu K
(Expert)
25 August 2013
As per revised guidence note on tax audit,,
The tax auditpr should obtain certificates from the assesse in respect of the principal items of goods traded,the balance of the openingstock, purchases, sales, and closing stock and the extent of shortage/excess/damage and the reasons therof.
The information is required to be given in report to the extent available with the auditee
.
.
in my opinion better ask him to classify stock (like, note books, test books,pens&pencils,erasers,and others
better disclose Notes books stock, test books stock,,remaining can be disclosed under other trading stock
i assumed that only notebooks and test books are principal items(costlier)
you give which ever is possible to evaluate,,and which is available withthe auditee
The tax auditpr should obtain certificates from the assesse in respect of the principal items of goods traded,the balance of the openingstock, purchases, sales, and closing stock and the extent of shortage/excess/damage and the reasons therof.
The information is required to be given in report to the extent available with the auditee
.
.
in my opinion better ask him to classify stock (like, note books, test books,pens&pencils,erasers,and others
better disclose Notes books stock, test books stock,,remaining can be disclosed under other trading stock
i assumed that only notebooks and test books are principal items(costlier)
you give which ever is possible to evaluate,,and which is available withthe auditee
Message likes :
1 times
CA PARAS BAFNA
(Expert)
25 August 2013
what to select in case of stationery shop having turnover just more than Rs 1 Crore? all the items are of equal significant in terms of value?
Reply-
1. Do you have the item wise quantitative details of traded items?
2. Do you have lists of opening and closing Stock showing quantitative details ?
3. Each item is having equal significant does not mean that all items are equally traded. For example 100000 files( all 15 types), 25500 Note Books ( all 65 varieties) , 350 diaries, 136500 pens (all 73 types) , 550 pencil boxes, 5000 paper boxes, 10 computers etc. have been sold. Select some of the major items from the above in terms of quantity and/or value.
UYou may leave insignificant items like Rubber Bands, Sharpners, Pins etc.
.
Reply-
1. Do you have the item wise quantitative details of traded items?
2. Do you have lists of opening and closing Stock showing quantitative details ?
3. Each item is having equal significant does not mean that all items are equally traded. For example 100000 files( all 15 types), 25500 Note Books ( all 65 varieties) , 350 diaries, 136500 pens (all 73 types) , 550 pencil boxes, 5000 paper boxes, 10 computers etc. have been sold. Select some of the major items from the above in terms of quantity and/or value.
UYou may leave insignificant items like Rubber Bands, Sharpners, Pins etc.
.
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
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- MSME disclosure and disallowance
- Taxation of crypto futures in India Fy 2026- 2027
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- EPF ECR NEW RULES Sep 17th 2026
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- 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
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- 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
