Profit and loss account - Information required to be disclosed in accordance with Part II

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....f Imports and Exports in granting the import licences. It may, therefore, be assumed on the same analogy that in case of manufacturing companies the turnover is to be similarly classified by reference to each class of goods for which the company holds an industrial licence. Similarly, in case of trading companies, the turnover should be classified in accordance with the classification adopted by the Chief Controller of Imports and Exports. There may, however, be cases where the company may not be holding any industrial licence or the goods cannot be classified according to the classification adopted by the Chief Controller of Imports and Exports, in such cases the classification adopted by the rules framed under the Monopolies and Restricti....

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....ara 4D - Value of imports calculated on c.i.f. basis - Clause (a) - All the imports made by the company, irrespective of whether these imports are made directly or through any other agency, should be disclosed in the profit and loss account. In case, however, certain goods have been purchased by a company from an independent entity who had made the imports on its own and not on behalf of the company concerned, need not be included in the total imports of the company. The value of the goods imported is required to be disclosed on "c.i.f." basis. There may be cases where the goods may be imported on the basis of "f.o.b." contract so that the values directly available from its record would be those relating to f.o.b. terms. In such cases, it ....

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.... exhaustive so as to cover all types of items involving foreign currency expenditure. At the same time it is viewed that the disclosure relates to the expenditure on intangible items rather than on import of tangible goods, that is to say, the disclosure should not be made once again with regard to the expenditure involved in foreign currency for items whose import value has already been discussed in compliance of the requirements of other paras. Value of imported raw materials, spare parts, etc. - Clause (c) - The disclosure is only in respect of goods directly imported by the company and through channelised agencies. It may be mentioned in this connection that while the other requirement of para 4D, as already discussed in clause (a) abo....