Inviting comments on the draft Form No. 6C for implementing the amendment made by the Finance Act, 2023 wrt Sub-section (2A) of the Section 142 of the Income Tax Act, 1961 regarding inventory valuation.

Inventory valuation must be reported by a nominated Cost Accountant in the prescribed Form 6C under the amended procedure.

Amendment requires an assessee to furnish an inventory valuation report prepared and signed by a Cost Accountant nominated by the supervisory commissioner when the Assessing Officer, with prior approval, considers such valuation necessary; draft Form No. 6C prescribes the format, inventory categories, valuation methods (including application of ICDS II where applicable), product wise quantitative and valuation schedules, reconciliations with Form 3CD/audited accounts, workings for cost of production and net realisable value, and explanations for variances and method changes.