valuation of closing stock
This query is : Resolved
25 July 2009
Suppose x ltd is a builder. Now In 2007-08 x ltd sold a flat to Mr Y for Rs 15 lac. Mr Y had already cleared all the dues. In 2008-09 Mr Y returned the flat to x ltd at Rs 17 Lac. And that returned flat is unsold till the end of 2008-09. The cost of construction of the flat returned was Rs 10 lac. There are other flats also unsold at the end of the year 2008-09 and company policy is to value stock at an average price. In this situation average valuation of closing stock is correct or we should separately value the returned flat. Also how we will pass the entry of return in the books and valuation of the returned flat
25 July 2009
I am doing three different prop concern. I am filed my income tax retun in 2 months before for the asseement year 2009-10 with my my 2 prop concern income only. Because at the time return filing my 3rd concern accounts not finalised.But my bankers wants urgently i do that.Now i wants to file my revised return with my all 3 prop concern.my gross receipts not exceed rs.10 lacs.In this situation any problems created by the assessing officer at the time of assessment.Please advise me what i do?
27 July 2009
Hi Sunil,
In your case the flat will not be treated as returned flat rather it will be treated as flat purchased.
The reason being the flat has not been returned at the same price at which it was sold.
So for now the cost of the flat for the company is Rs. 17 lacs. As the company has the pricing method as average just add this flat cost and average out the rate.
It will be normal stock purchase entry for the company.
In your case the flat will not be treated as returned flat rather it will be treated as flat purchased.
The reason being the flat has not been returned at the same price at which it was sold.
So for now the cost of the flat for the company is Rs. 17 lacs. As the company has the pricing method as average just add this flat cost and average out the rate.
It will be normal stock purchase entry for the company.
27 November 2009
Suresh file revised return and keep reason for change in balance sheet & p & L figures ready for the A. O.
11 July 2010
A revised return can file if the assessment is not completed. In your case you can file Revised return stating the reason that I have not taken income correctly by ommission and change accordingly the Balance sheet, Profit & Loss Account, Computation of Income, Tax payable etc.,
06 April 2012
When income is increased in a revised return, penalty u/s 271(1)(c) can be levied.
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
- Manual Rectification through AO
- IT Return filed defective u/s 139 (9)
- Fixed Deposit Claim Relinquishment by the Nominee
- Defective Return - Tds on advance
- Income Type for interest from government bonds
- Not a CA , can we prepare balance sheet
- TCS ON SOFTWARE SALES
- SHARE TRANSFER PRIVATE LIMITED COMPANY
- Car Purchases in Daughter Name
- Invoicing in different currency
- ITR 6 Schedule CFL and UD Issues
- Gstr 9 2023-24
- GSTR-9 HSN Summary and Credit Note without item
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- GST RCM not shown in GSTR-3B
Trending Online Classes
-
Landmark Judgments: Important Provisions of the EPF & ESI Act interpreted by the Honorable Supreme Court of India
Mr.Balamurugan Ranganathan15 November 2024
CAclubindia
