Depreciation in closing stock valuation

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

15 December 2012 Kindly help me on this.

In case of Company Assessee who is engaged in manufacturing activity while computing closing stock whether depreciation as per companies Act is to be cosidered or Depreciation as per Income Tax Act.

Kindly give case laws reference if any.

Arun Biyani

Arun Biyani (Expert)
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17 December 2012 pl explain how depreciation has effect on valuation of closing stock. if you mean loading depreciation burden on finished goods then it has to be as per companies act only, still i dont think most companies value the closing stock the way you want to do it..