Is there doctrine that states an APFT taken during school/ competition etc. cannot be used as a record?

AR 350-1 Para 3-13 e-1-a states if a Soldier fails an APFT at PME "Unit commanders will initiate appropriate actions to include flagging per AR 600–8–2, changing the immediate reenlistment prohibition code as appropriate and/or initiating a bar to reenlistment." From my understanding it should count as a record if you can be flagged for failing it.

There is a difference between unit systems and regulatory guidance. The regulation states what constitutes as a record and what constitutes as a diagnostic. Stick with the regulation and you can't go wrong. If someone is telling you that there is additional guidance, because you can add to the regulation then ask for the policy letters signed by the chain of command. All changes should be published in a policy letter form or unit SOP signed by the Commander.

We do not give the APFT cards back to the students for the simple fact that if the test was failed it is already annotated on the 1059. Most units will try to use the APFT card/score as a punishment when they have already been punished. It is not an official APFT test because it is the school house policy to give a APFT. An actual record APFT test in the regulation says if you fail an APFT the Soldier has 90 days to take another. We only give 7 days therefore, it is not considered a record. There is always a controversy how the school house grade versus the unit. The Soldier can go back to the unit take the APFT test and pass, all because most units do not grade to standard. That is why some units will send there Soldiers to a school house to take a PT test before actually going to a school and the 3 to 4 APFT's that is taken before school is not counted as records either.