Dtl/dta

This query is : Resolved

CA. Mala Rohara (Querist)
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24 July 2012 31/03/2012:
Op.stock of Finished Goods: 25,76,287/-
Excise Duty thereon:2,65,358/-

Clo. of Finished Goods: 1,25,56,335/-
Excise Duty thereon:15,51,963/-

Hence Provision for unpaid excise duty is made for Rs. 12,86,605/- ( 15,51,963 - 2,65,358).

Plz advise what will be its impact on DTL/DTA.

Sanjay Chauhan (IFRS)

Sanjay Chauhan (IFRS) (Expert)
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24 July 2012 Deferred tax will originate only if there is difference between financial book value of inventory and Tax book value of inventory.

AS 2 is equally applicable for Tax purposes and hence it would be deferred tax neutral adjustment.