Legal Resources - Tax Rules

Tax Rules: Final: 5703-3

5703-3-17 - "Average inventory value of merchandise" of taxpayer using "retail inventory method of accounting"

The true "average inventory value of merchandise" to be estimated for taxation shall prima facie be the "average inventory value" at cost as disclosed by the books of the taxpayer, after making proper adjustments for cash discounts and merchandise shrinkage, less the aggregate net markdowns, at cost, (taking into consideration markdown cancellations and additional mark-ups at cost) which are reflected on the books of the taxpayer for the succeeding three months following the close of the annual accounting period of the current tax year.

Any taxpayer using the "retail inventory method of accounting", who has cause to file a true value claim with his Personal Property Tax return as authorized by Revised Code 5711.18, should request an extension of time for filing as provided by Revised Code 5711.04, in order that such claim and return when filed will be in conformity with the foregoing.

Effective: 11-18-57 as TX-41-16

Promulgated under: 5703.14