Item 47 - Trading stock election

The trust may elect to value an item of trading stock below the lowest value of cost, market selling value, or replacement value, because of obsolescence or any other special circumstances. The value it elects must be reasonable. For more information on trading stock valuations where obsolescence or other special circumstances exist, see Taxation Ruling TR 93/23 - Income tax: valuation of trading stock subject to obsolescence or other special circumstances.

If an election is made, select Y for yes from the list at the field. Otherwise leave the field blank.

CCH References

9-240 Special Value in Case of Obsolescence