Latest Income-Tax Details

For Full Access To All Latest Judgments on Income Tax
Click Here To Subscribe Now
Take a tour of our Income-Tax Library

Assessee has raised the ground that the Commissioner of Income-tax (Appeals) [‘CIT(A)’] erred on facts and in law in confirming the action of the assessing officer in determining book profit under section 115JB of the Income Tax Act, 1961 (‘the Act’) at Rs. 275,16,44,730 as against book loss of Rs. 90,74,679 declared by the appellant.

Shanti Prime Publication Pvt. Ltd.

Sec. 115JB of Income Tax Act, 1961—MAT— Loss cannot be equated with expenditure and the provisions u/s 115JB doesn’t envisage enhancement of taxable profits by adding the loss incurred in redemption of mutual fund for the purpose of Section 115JB- Loss incurred by on account of dividend stripping dealt under sub-Section 7 of Section 97 cannot be applied for the purpose of computing business profit in terms of Section 115JB- Loss on purchase and redemption of mutual funds cannot be treated as an expenditure relatable to earning of dividend and the provisions relating to dividends stripping and allowability of consequent loss u/s 94(7) are different from the Clause (f) of Explanation 1 to the Section 115JB. - HESPERA REALTY PVT. LTD. V/s DEPUTY CIT - [2020] 82 ITR (TRIB) 557 (ITAT-DELHI)