CA Vanamala Phani Kumar (Proprietor of M/s Vanamala and Co) (972 Points)
17 August 2012Can i add excise duties and VAT recd on Raw materials in Cost of Rawmaterials consumed during year......?????????
or Add excise and Vat to Direct expenses.. head.?????
Amber Jain
(Article Assistant)
(206 Points)
Replied 18 August 2012
Dear Phani,
As per Revised Schedule VI excise duty to be presented as deduction from revenue of a non–finance company in the notes, and for VAT there is no such disclosure. But as per AS-9 revenue recognised should be net of VAT.
So not to add it in Cost of Raw material consumed & to give the effect according to above lines.
Thanks & regards
Amber Jain
CAclubindia
