Method of Accounting in Certain Cases - (New) Section 277 / (Old) Section 145A

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....sion of Taxes, Duties, Cess, Fees in Valuation • the valuation of purchase and sale of goods or services and valuation of inventory shall be adjusted to include any tax, duty, cess or fee (by whatever name called) actually paid or incurred by the assessee to bring the goods or services to the place of its location and condition as on the date of valuation; • any tax, duty, cess or fee (by whatever name called) under any law in force, shall include all such payment irrespective of any right arising as a consequence to such payment. [ Section 277(4) ] • (iii) Valuation of the inventory being securities not listed or Unquoted on a recognised stock exchange • shall be valued at actual cos....

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....entory for the income assessed under the head "Profits and Gains of Business or Profession." (i) Valuation of Inventory (General Rule) • Inventory is to be valued at the lower of actual cost or net realisable value in accordance with ICDS-II. (ii) Treatment of Tax Paid on Goods • the valuation of purchase and sale of goods or services and of inventory shall be adjusted to include the amount of any tax, duty, cess or fee (by whatever name called) actually paid or incurred by the assessee to bring the goods or services to the place of its location and condition as on the date of valuation • GST on purchases and sales must be distinctly reported in the trading account or profit and loss section....

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....lassified into the following categories, namely:- • Shares • Debt Securites • Convertible Securities and • Any other Securities not covered above • Para 13 -  For the purposes of paras 9, 10 and 11 where the actual cost initially recognised cannot be ascertained by reference to specific identification, the cost of such security shall be determined on the basis of first-in-first-out method or weighted average cost formula. • the comparison of actual cost and net realisable value of securities shall be made category-wise. (B) Valuation of inventory being securities held by a scheduled bank or public financial institution • shall be valued i....