TaxTMI 
TaxTMI 
We transfer goods on F Form to our Consignment Agents. Should we show the stock in Company's Closing Stock.
John Shannel
Stock held by Consignment Agents
03 Jun 2011 
3 Replies 
2105 Views Asked by
Treatment of consigned stock: goods sent on F Form remain company closing stock until sold by the consignee.
Goods dispatched to consignment agents on F Form are treated as the consignor's assets until sold by the consignee and therefore should be included in the consignor's closing stock; a contrary view treats such dispatches as sales at dispatch and excludes them from the consignor's closing stock, but the operative practical rule stated is to retain consigned goods in the consignor's books until sale. (AI Summary)
Goods dispatched to consignment agents on F Form are treated as the consignor's assets until sold by the consignee and therefore should be included in the consignor's closing stock; a contrary view treats such dispatches as sales at dispatch and excludes them from the consignor's closing stock, but the operative practical rule stated is to retain consigned goods in the consignor's books until sale. (AI Summary)