Part E
Timing and quantifying rules
Valuation of trading stock (including dealer’s livestock)
EB 21Market selling value for low-turnover traders
A low-turnover trader may determine the value of their closing stock at its market selling value, whether that value is higher or lower than cost. However, if the value is higher than cost, the trader must be consistent from 1 income year to the next in their use of market selling value to determine the value of closing stock.
Section EB 11(2) to (4) applies to a low-turnover trader.
Compare
- 2004 No 35 s EB 21