Section 17
Stock in trade
of Petroleum (Income Tax) Act 1967
Notwithstanding any other provision of this Part, in ascertaining the adjusted income of a chargeable person for the basis period for a year of assessment, the value of the stock in trade of his petroleum operations at the beginning and the value of the stock in trade of his petroleum operations at the end of that period shall be taken into account in accordance with the following subsections
(that chargeable person, that period and that stock in trade being referred to in those subsections as the relevant chargeable person, the relevant period and the stock respectively).
(2)
Where the value of the stock at the end of the relevant period exceeds the value of the stock at the beginning of the relevant period, the total of all amounts otherwise deductible under sections 15 and 16
in ascertaining the adjusted income of the relevant chargeable person for the relevant period shall be reduced by the amount of the excess;
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and, where the value of the stock at the beginning of the relevant period exceeds the value of the stock at the end of the relevant period, the total of all amounts otherwise so deductible shall be increased by the amount of the excess.
(3)
The value of the stock at the end of the relevant period shall be taken to be—
(i)
an amount equal to its market value at that time; or
(ii)
if the relevant chargeable person so elects, an amount equal to the total cost to him of acquiring the stock.
(4)
The value of the stock at the beginning of the relevant period
(other than the basis period for the first year of assessment for which the relevant chargeable person is chargeable to tax) shall be taken to be an amount equal to its value as ascertained under subsection (3) at the end of the basis period for the year of assessment immediately preceding the year of assessment to which the relevant period relates.