Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2009 (8) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2009 (8) TMI 41 - HC - Income TaxSpecific Reserve - Deduction u/s 36(1)(viii) – Retrospective effect of the amendment for calculated 40% of profit – held that - during the assessment years in question, the entire total income of the assessee had to be taken into consideration. The assessee was not permitted to bifurcate his income into two heads i.e. one from long term finance investments and the other from other categories of business. This meant that his entire income, which obviously included losses, would have to be taken into account and on this 40% deduction was to be allowed – regarding rectification u/s 154 – held that - AO committed an error apparent by not taking the income/loss derived from other businesses while computing the total income. It is only after the amendment was brought about in the year 1996 that the assessee has been held entitled to deduction of 40% only on the income derived from long term financing business. – This mistake can be rectified u/s 154
|