712/CBDT.

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..... advance towards the capital gains liability which may accrue on the proposed sale or transfer. 2. The scope of the words 'existing liability' occurring in Section 230A of the Income-tax Act, 1961 has been explained in the Board's Instruction No. 481 dated 25th November, 1972. It has been clarified in this instruction that the expression 'existing liability' occurring in clause (a) of sub-section .....

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..... n 'existing liability' within the meaning of Section 230A even as per the Board's Instruction's No. 481 referred to above. The Income-tax Officer, therefore, cannot take into account the capital gains which may accrue as a result of the proposed transfer before giving the certificate u/s 230A. These instructions may be brought to the notice of all officers working in the charge. - Circular - Tra .....

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