Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

RAKSHAK CHEMICALS PRIVATE LIMITED Versus JOINT COMMISSIONER OF INCOME TAX (ASST.)

2016 (6) TMI 958 - GUJARAT HIGH COURT

Slump sale of an undertaking - whether corresponding WDV is required to be reduced from the remaining block and depreciation on such reduced block can only be allowed as held by ITAT? - Held that:- It is to be noted that Section 43(6) which provides “written down value”, more particularly clause (C) whereby Section 43 (6)(c) was amended on 01/04/2000 and therefore the observations in paragraph No.19.1 of ITAT are contrary to the law which was prevailing in the relevant assessment year. The said .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

2)(aa) - Held that:- As so far as the finding of the AO rejecting the claim of the appellant on the ground that the cost of the bonus shares is to be taken at NIL as per the amended provisions of law, in view of the judgment of the Constitutional Bench in case of CIT V. Gold Co. Ltd. [1969 (4) TMI 29 - SUPREME Court ] which has been referred to in Escorts Farms (Ramgarh) Ltd. (1996 (9) TMI 4 - SUPREME Court ), Section 55(2)(aa) which came into operation on 01/04/1996 and therefore the transactio .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

appeal, the appellant - assessee has challenged the order passed by the ITAT in ITA No.1527/Ahd/2001 dated 16/09/2004 for the assessment year 1997-98, whereby the Tribunal has held that in case of slump sale of an undertaking, its corresponding WDV is required to be reduced from the remaining block and depreciation on such reduced block can only be allowed to the appellant, as also the cost of bonus shares are to be taken at rupees nil even if the said bonus shares are issued prior to the amend .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ration and not the full cost while quantifying the capital gains. 3. The Assessing Officer has rejected the claim of the assessee as well as by the CIT (Appeals) and the ITAT. 4. While admitting the present appeal, the following substantial questions of law were raised: (i) Whether, in the facts and circumstances of the case the ITAT was right in law in holding that in case of slump sale of an undertaking, its corresponding WDV is required to be reduced from the remaining block and depreciation .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

endment to S.55(2)(aa) of the Act? 5. Learned Counsel Mr.Soparkar for the appellant has relied upon Section 43(6) which provides written down value , more particularly clause (C) whereby Section 43(6)(c) was amended on 01/04/2000 and therefore it was contended that the Tribunal while considering the contention of the appellantassessee has considered the case of the appellant in paragraph No.19, but has held against the present appellant in paragraph No.19.1. He has also taken us to paragraph No. .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

d upon the decision in case of Escorts Farms (Ramgarh) Ltd. v. Commissioner of Incometax 222 ITR 509 wherein judgment of the Constitutional Bench in case of CIT V. Gold Co. Ltd. [1970] 78 ITR 16 has been referred. He has therefore contended that the average share price ought to have been taken into account prior to amendment in view of the decision of the Hon'ble Supreme Court and subsequently amended law which was sought to be, but cannot be made retrospective effect, more particularly on 0 .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     bird's eye view     ↓  


|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version