TaxTMI 
TaxTMI 
Forms for report of audit or inventory valuation u/s 142(2A) and Guidelines for the purposes of determining expenses for audit or inventory valuation - Amendment in Income-tax Rules 1962
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.... assessee which is required to be furnished under clause (i) of sub-section (2A) of section 142 shall be in Form No. 6B. (2) The report of inventory valuation of an assessee which is required to be furnished under clause (ii) of sub-section (2A) of section 142 shall be in Form No. 6D.". 3. In the principal rules, for rule 14B, the following rule shall be substituted namely:-- "14B. Guidelines for the purposes of determining expenses for audit or inventory valuation. -- (1) Every Chief Commissioner shall for the purposes of clause (i) and clause (ii) of sub-section (2A) of section 142 shall maintain a panel of -- (i) accountants, out of the persons referred to in the Explanation to sub-section (2) of section 288; and (ii) cost accountants, out of the persons referred to in the Explanation to section 142. (2) Where the Assessing Officer directs -- (i) for audit under clause (i) of sub-section (2A) of section 142 on or after the 1st day of June, 2007; or (ii) for inventory valuation under clause (ii) of sub-section (2A) of section 142 on or after the 1st day of April, 2023, the expenses of, and incidental to, audit or inventory valuation (including the remuneration ....
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.... inventory has been valued at Rs. _______________ (in words _________________) for the relevant period ________________ to __________________. 3. * I/ We have obtained all the information and explanations which to the best of * my/our knowledge and belief were necessary for the purposes of the Inventory Valuation. 4. In * my/our opinion, from *my/ our examination of the books of account and other documents, it appears that proper books of account and other documents with respect to inventory have been kept by the head office, other premises and the branches of the assessee visited by * me/us, and proper data adequate for the purposes of inventory valuation have been received from branches not visited by * me/us subject to the comments given below: (a) (b) …………………….. 5. In * my/our opinion and to the best of * my/our information and according to explanations given to * me/us, the Inventory Valuation presented herein below in * my/our report is true and correct subject to comments given below: (a) (b) ……………………………….. 6. The....
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....erials e) By-products f) Intermediate Products g) Jigs, Tools, and Dies h) Stores, Spares and Consumables i) Scrap j) Any other item (ii) State whether there is any change in the method of valuation of any of the aforesaid items as compared to the method employed in the immediately two preceding previous years (iii) If the answer to (ii) above is in the affirmative, specify the amount by which the profit or loss for the relevant period has been affected by such change (iv) During the relevant period, has there been any insurance claim relating to inventory due to fire or accident or any other reason. If so, give details. Note: In case available, details of HSN codes and SAC code for services should be provided for principal products/ services. 8. Give summarized details of Financial Results (as per the Audited Accounts of the Assessee) Details of Financial Results (as per the Audited Accounts of the Assessee) S. No. Particulars Year under reporting Previous Year 1 Previous Year 2 1 Turnover 2 Profit (Loss) before tax 3 Less: Taxes paid 4 Profit (Loss) after tax 5 Raw Materials Consumed 6 Opening Inventory 7 Closing Inventory 8 A....
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....pect of the goods traded in. 4. Inventory of all such manufactured goods / traded goods / work-in-progress items that constitute top 80% of the value of total manufactured goods / traded goods / work-in-progress items respectively should be reported item-wise separately. Inventory of all other manufactured goods / traded goods / work-in-progress items constituting balance may be clubbed under "Others" 10. (i) Has the assessee conducted physical verification of raw materials, stores and finished products, etc. or traded goods mentioned above? (ii) Details of discrepancies, if any 11. (i) Whether valuation is in conformity with the Income Computation and Disclosure Standards (ICDS) notified under sub-section (2) of section 145 of the Income-tax Act, 1961? (ii) Details of discrepancies, if any 12. Details of inventory valuation for the relevant period under reporting by the Cost Accountant (wherever ICDS II is applicable) - (i)(a) Valuation of Finished Goods Sl. Description Item Code UOM Opening Stock Closing Stock Qty COP/ PV (Rs.) NRV (Rs.) Lower of (6) or (7) Value (5) x (8) (Rs.) Qty COP/ PV (Rs.) NRV (Rs.) Lower of (11) or....
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....lip;……. Total NRV: Net Realisable Value Note: Add/Delete Rows as per the number of By-Products. (v) Valuation of Intermediate Products (IMP) Sr. Description Item Code UOM Opening Stock Closing Stock Qty COP (Rs.) NRV (Rs.) Lower of (6) or (7) (Rs.) Value (5) x (8) (Rs.) Qty COP (Rs.) NRV (Rs.) Lower of (11) or (12) (Rs.) Value (10) x (13) (Rs.) (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) 1 IMP 1 2 IMP 2 3 IMP 3 ……. Total Note: 1. Add/Delete Rows as per the number of Intermediate Products 2. Intermediate products include only such products which are at intermediate stage and not included elsewhere. (vi) Valuation of Others Description Opening Value (Rs.) Closing Value (Rs.) Jigs, Tools, and Dies Stores, Spares and Consumables Scrap Others Total (vii) Summary of Inventory Valuation as on _______________ Sl. Particulars Value as per Form No. 3CD (Rs.) (If Form No. 3CD not furnished, then value as per audited accounts) Value as per Cost Accountant (Rs.) Variation if any (Rs.) Opening Closing Open....
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....Cost of the unit for each type (Rs.) NRV (Rs.) Value [(5) X lesser of ((6) or (7))](Rs.) Qty Cost of the unit for each type (Rs.) NRV (Rs.) Value [(9) X lesser of ((10) or (11))] (Rs.) (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) 1 Project 1 2 Project 2 3 Project 3 ….. Total Notes: 1. Type means BHK size/Affordable/ Premium/Commercial etc. which is identifiable as different sale unit 2. Completed Units mean Plots/Flats/commercial units/Villas/Floors which are ready for sale and have been included in inventory as such 3. The valuation of Land (Shown separately in Inventory Valuation in financials) and Development Rights can be shown here, if required. (ii) Valuation of Construction Work-in-progress Sl. Description Closing Stock %age Completion Total to-date construction cost(Rs.) Cost as per recognised revenue (Rs.) Value of Workin- progress [(4)-(5)] (Rs.) (1) (2) (3) (4) (5) (6) 1 Project 1 2 Project 2 3 Project 3 ……… Total Opening Stock %age Completion Total to-date construction cost (Rs.) Cost as per recognised....
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....giving full justification. Opening stock Closing stock a. Completed units ready for sale b. Construction Work-in-progress c. Construction Materials d. Construction Fittings, supporting equipment and Others Note: Specify the method used to determine the stage of completion of contracts in progress (vii) Any other relevant comment, observation or qualification of the Cost Accountant B. Inventory valuation for Assessees engaged in the trading of Securities which are dealt with by the ICDS VIII. (i)(a) Valuation of Listed Shares held as Stock-in-trade Sr. Description Opening Stock Closing Stock Qty AC (Rs.) NRV (Rs.) Lower of (4) or (5) (Rs.) Value (3)X (6) (Rs.) Qty AC (Rs.) NRV (Rs.) Lower of (9) or (10) (Rs.) Value (8)X (11) (Rs.) (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) 1 Share 1 2 Share 2 3 Share 3 …….. Total AC: Actual Cost NRV: Net Realisable Value Note: Add number of rows depending on the number of shares (i) (b) Valuation of Unlisted Shares held as Stock-in-trade Sl. Description Opening Stock Closing Stock Qty AC (Rs.) NRV (Rs....
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.... Sl. Category Value as per Form No. 3CD (If Form No. 3CD not furnished, then value as per audited accounts) (Rs.) Value as per Cost Accountant (Rs.) Variation if any (Rs.) Opening Closing Opening Closing Opening Closing (1) (2) (3) (4) (5) (6) (7) (8) (5) - (3) (6) - (4) 1 Listed Shares 2 Unlisted Shares 3 Debt Securities 4 Convertible Securities 5 Any other Security Total Impact on Profit or Loss Impact on Income Tax Note: Specify the amount by which profit or loss would be affected by the changed valuation. (vi) Details of inventory valuation carried out by the Cost Accountant Inventory Items Method of valuation used by the Cost Accountant In case of variation in the method adopted by the assessee, state reasons for variations in quantity, rates and value along with method adopted by the Cost Accountant for various items of inventory giving full justification. Opening stock Closing stock a. Listed Shares b. Unlisted Shares c. Debt Securities d. Convertible Securities e. Any other Security Note: Specify the method used to determine the Actual Cost and Net Realisable Value for each category of financial instrument....