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Stock Transfer to Fixed asset

18 January 2024

we need to transfer our Stock in Fixed asset and its a a manufacturing unit?

We have purchased materials from various places and assembled to a finished product. How can we transfer the stock into a fixed asset in tally ? Kindly advise,

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20 Replies

RAJA P M ("Do the Right Thing...!!!") (127179 Points)
Replied 18 January 2024

We have purchased materials...!!

Well... Where You account this materials...?

Just through "Journal Voucher" From that account to Fixed Account...

If You account the purchased materials like

Dr. Purchase of that goods A/c - XXXX
Cr. Supplier Account - XXXX

Now You want to transfer to Fixed Asset like

Dr. Fixed Asset A/c - XXXX
Cr. Purchase of that goods A/c - XXXX

Rucha Malegaonkar (18 Points)
Replied 18 January 2024

But i also want to reduced the closing stock from books then what should be the entry ? as if we pass JV stock item dont get reflected

RAJA P M ("Do the Right Thing...!!!") (127179 Points)
Replied 18 January 2024

For reducing stock provide stock journal...

For increasing Asset value provide Journal entries from expense head to Asset head...

sabyasachi mukherjee (26089 Points)
Replied 18 January 2024

Stock transfer to fixed asset is a easy process.
1. concurrence of board subject to the objects of the business.
2. then the process can take place.

RAJA P M ("Do the Right Thing...!!!") (127179 Points)
Replied 18 January 2024

Originally posted by : sabyasachi mukherjee

Stock transfer to fixed asset is a easy process.1. concurrence of board subject to the objects of the business.2. then the process can take place.

Ohhh God...

You are also attend this query with Your great knowledge... Right...??

Okay , I leave this query. You can continue with Your Knowledge...

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sabyasachi mukherjee (26089 Points)
Replied 18 January 2024

A stock cannot be used as a fixed asset.
understand and then comment.

RAJA P M ("Do the Right Thing...!!!") (127179 Points)
Replied 18 January 2024

Originally posted by : sabyasachi mukherjee
	A stock cannot be used as a fixed asset.understand and then comment.

Hello Mr,

Read the query and replies from first.

உனக்கே இது தெரியும் போது, எனக்கு தெரியாதா...???

1 Like

sabyasachi mukherjee (26089 Points)
Replied 18 January 2024

Mr. rucha you cannot transfer stock to fixed asset.

Rucha Malegaonkar (18 Points)
Replied 18 January 2024

Actually we have a startup and the finished goods lying in the books are getting used for testing purpose only so we are never going to sale it hence we wanted to transfer the same to Fixed asset

sabyasachi mukherjee (26089 Points)
Replied 18 January 2024

Now this has got some meaning.
finished goods cannot be transfered to fixed asset.

Yasaswi Gomes new (Finance ) (4484 Points)
Replied 18 January 2024

Only some spare parts like moulds can be accounted as inventory. If you got parts and assembled them, recognise the asset on the day it is finished. All trial and err or testing of prototype expenses fall under development phase and capitalised. Your not clear in your query. What is the fixed asset that you assembled? What are the finished goods that your testing?

Rucha Malegaonkar (18 Points)
Replied 18 January 2024

We purchased some Raw materials assembled them and produced one finished good and its lying in Closing stock. So some of them are being use for testing purpose before launching it to the market. hence the stock we are using for testing we want that stock to be capitalized

hence i needed some guidance regarding the same.