Undervaluation of closing stock
This query is : Resolved
03 October 2015
Dear Sir/Madam
one of my clints(tax audited) has received notice u/s 148 for A.Y. 2011-12. in the notice the mistake is under valuation of closing stock . Now I want to file correct return u/s 148 but I don't know where the undervaluation of closing stock should be shown in return . My clint wants to give effect of under valuation of closing stock in return only but not in audited balance sheet and P&L A/c.
Please sugguest me how to deal with this case.
one of my clints(tax audited) has received notice u/s 148 for A.Y. 2011-12. in the notice the mistake is under valuation of closing stock . Now I want to file correct return u/s 148 but I don't know where the undervaluation of closing stock should be shown in return . My clint wants to give effect of under valuation of closing stock in return only but not in audited balance sheet and P&L A/c.
Please sugguest me how to deal with this case.
03 October 2015
01. what was the method of valuation used?
02. Were the quantitative details given in the audit report?
02. Were the quantitative details given in the audit report?
Message likes :
1 times
05 October 2015
1. cost or NRV which ever is lower
2. the qty details were not given in the audit report.
2. the qty details were not given in the audit report.
05 October 2015
Filing income tax return is NOT auditor's job.
As an auditor, method of valuation as selected by you is acceptable to income tax.
Since quantitative details were NOT given in the audit report, you can ask for the same from the CLIENT.
Based on these details, you can take the call
As an auditor, method of valuation as selected by you is acceptable to income tax.
Since quantitative details were NOT given in the audit report, you can ask for the same from the CLIENT.
Based on these details, you can take the call
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
- Income tax return change regime form necessary or not?
- EXEMPTION OF LONG TERM GAIN UNDER SECTION 54F
- Refund of Rs.4,00,000/- pursuant to Appeal Order – Deceased Proprietor & Closed Bank Account
- Machinery taking back from repair work shop
- Resignation of auditor and appointment and cfss
- Partnership firm under Section 44AD
- Partner retired
- RCM PAYMENT OF APRIL 2025 NOT PAID IN YEAR AND NOW PAYING IN OCTOBER 2026 RETURN
- EPF RETURN FILLING
- Patient expenses
- Tax Audit Mandatory or Optional
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
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
