Exclusive Method’ of accounting is valid in absence of any notified standard by Department

Brief of the Case In A.C.I.T. vs. Kiran Industries Pvt Ltd, the Ahmedabad Tribunal following its co-ordinate bench decision and relying upon the decision of Hon’ble High Court (T&AP) held that excise duty component need not to be included in valuation of inventory if the assessee is following exclusive method of accounting. Further in the absence of accounting standards notified by the Central Government, the assessee can follow the accounting standards and guidance note issued by the ICAI. Fact of the Case Assessee is a company engaged in the business of manufacturing of dyed yarn, knit...