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2011 (4) TMI 705 - AT - Income TaxSet off of loss from assets on which depreciation was claimed - Gain on sale of a long term capital asset against the brought forward long term Capital Loss - Deeming provisions of section 50 - Held that:- the gain is short term capital gain due to the fiction created by provisions of section 50(2), the asset remained as "long term capital asset"- Therefore, in view of the ratio laid down by the Jurisdictional High Court, the brought forward long term capital loss can be set off against the capital gain on account of transfer of the depreciable asset which has been held by the assessee for more than 36 months thereby making the asset a long term capital asset - under section 74(1)(b) the assessee is entitled to the claim of set off of long term capital loss against the income arising from the sale of office premises, the gain of which is short term due to the deeming provision but the asset is long term. - Decided in favor of assessee.
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