As-2 closing stock
This query is : Resolved
23 July 2012
Dear Sir,
My client is manufacturing a liquor and he is giving some gift articals ( eg; bags , watches, gold coins )to the retalers ans suppliers for sales promotions.
but these items cost they are treating as a expenses . they are not treating as a Stock.
my doubt is whether these gift articales
Can we treat as Expenses or Inventoty ?
because these items value is very high.
if inventory means please give some reference
My client is manufacturing a liquor and he is giving some gift articals ( eg; bags , watches, gold coins )to the retalers ans suppliers for sales promotions.
but these items cost they are treating as a expenses . they are not treating as a Stock.
my doubt is whether these gift articales
Can we treat as Expenses or Inventoty ?
because these items value is very high.
if inventory means please give some reference
24 July 2012
its not a inventory
its an expense
value of item is of no relevance (high Value)
Because As per AS-2
Following Items are considered as Inventory (stock):
1. Raw Material – the items which are used for manufacturing Finished goods and it also includes packing Materials & other Such Items
2. Finished Goods
3. Semi-Finished Goods
its an expense
value of item is of no relevance (high Value)
Because As per AS-2
Following Items are considered as Inventory (stock):
1. Raw Material – the items which are used for manufacturing Finished goods and it also includes packing Materials & other Such Items
2. Finished Goods
3. Semi-Finished Goods
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
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Applicable TDS rate for sale of property in Nov 2024
- Inventory of finished goods
- Tds on building rent monthly
- RCM INVOICING FROM NOV-2024
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- Confusion around Form 26QB fields
- Adjustment entry in the case of Individual and HUF on 31st March
- Stock difference tax applicable on composite rate or normal rate
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
