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2023 (7) TMI 931 - AT - Income TaxMAT - determination of Book-Profits u/s 115JB vis-à-vis loss suffered by the assessee on loss on investments - HELD THAT:- As capital profits, which do not have component of income, are to be excluded while computing Book Profits u/s 115JB. On similar logic, the adjustment of loss could also not be allowed u/s 115JB. In other words, loss on sale of investment could not be reduced from Book Profits u/s 115JB. As in CIT V/s Metal and Chromium Plater (P.) Ltd. [2016 (11) TMI 1021 - MADRAS HIGH COURT] clearly held that in terms of provisions of sub-section (5) of Sec.115JB, the assessment was open for application of all other provisions contained in the Income tax Act except if specifically barred by that section itself. Therefore, when gains on sale of investments were to be excluded being capital receipts, naturally, the book profits are to be increased by similar losses incurred on sale of investments. Decided against assessee.
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