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Cost of stock

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RAHUL SHAW

47 Points Posted on 02 February 2020

Basic-6588
Payment discount 5%- 329.4
Value before tax-6258. 6
Tax @ 18%-1126.54

Cost of Stock as per income tax &GST?

Replies (5)

Quick Summary

This discussion clarifies how the cost of stock is calculated for Income Tax and GST purposes. For Income Tax, the cost includes tax amounts as per ICDS, provided it's in closing stock. GST doesn't have a separate cost calculation; it uses the book value. Accounting Standard 2 (AS2) is referenced for guidance.

sabyasachi mukherjee

Profession

28271 Points Posted on 02 February 2020

Cost of stock as per income tax is not computed.
generally every month companies give stock ststem

Kapadia Pravin

17269 Points Posted on 03 February 2020

But what is query reply ?
Cost of stock as per query ?

anirudh

student

178 Points Posted on 06 February 2020

As per ICDS amount of tax shall be included in the value of stock irrespective of input tax credit available. - For income tax act. Provided it is included in closing stock .

For GST cost is not calculated separately, amount which is shown in the books of accounts is value of cost .