banner_ad

Value Added from Manufacturing and Trading Activities

Others 256 views 2 replies

Why is it mentioned the word "Recoverable Taxes" while subtracting from sales to attain "Value added by Manufacturing and Trading Activities".. Are non recoverable Taxes not subtracted... Even they are payments in actual... Why are they not subtracted?? 

Replies (2)

This is taxation. Value added does not arise only through eliminating unprofitable activities but also through tax consequences. How recoverable taxes are value added?

eg. 

Profit before tax

+ expenditure which cannot be claimed

- expenditures which can be claimed like capital allowances

= profit adjusted for tax purposes

- % corporate tax

= profit after tax

Hope this answered your query. 

Recoverable taxes are like reimbursement.
Non recoverable taxes are like expenses.
Now take for example
A company produces a product for


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 27 May 2026
CA Article Trainee

Rahul Dang & Associates-Chartered Accountants

Pune

CA Inter

View Details
Company
Featured 26 May 2026
Account Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
19 May 2026
Article, CA & Paid Assistant Positions

Aggarwal Sarawagi and Co

New Delhi

CA

View Details
Company
29 May 2026
Accounts assistant

Shubh Consultancy

Mumbai

Graduate (Any)

View Details
Company
19 May 2026
Accountant

ca kunjan

Mumbai

CA Inter

View Details
Company
26 May 2026
Audit executive

vdsr & co LLP

Chennai

CA Inter

View Details
Company
29 May 2026
Company Secretary - Part time

Shaswat initial support private limited

Ahmedabad

CS

View Details
Company
ARTICLESHIP 31 May 2026
Article Assistant

KPRS And Associates

New Delhi

CA Inter

View Details