Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding


  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram
Income Tax - Highlights / Catch Notes

Home Highlights October 2020 Year 2020 This

Premium for hedging foreign exchange fluctuations on loans - ...

Income Tax

October 30, 2020

Premium for hedging foreign exchange fluctuations on loans - capital expenditure u/s 43A - depreciation claim - It cannot be said that the loan borrowed in Foreign currency is not even remotely connected with the cost of the asset when it is an admitted position that the loan was borrowed for acquiring a capital asset. Therefore, the assessee cannot be put to disadvantage on both grounds. - HC

View Source

 


 

You may also like:

  1. Depreciation on foreign exchange fluctuation loss - foreign currency term loan availed for purchase of windmill - since the assessee has capitalized and claimed...

  2. Premium for hedging foreign exchange fluctuations on loans taken for the purpose of appellant's business - whether a capital loss by treating it as capital expenditure...

  3. Claim of expenditure towards premium paid on forward covers of foreign exchange rates - Section 43A is not applicable to the facts of the present case since it is not...

  4. Claim towards exchange fluctuation loss - for the purpose of depreciation, the cost of asset cannot be reduced or increased due to exchange rate fluctuation - allowed as...

  5. Disallowance of foreign exchange fluctuation under the head finance cost - in absence of applicability of section 43A of the Act, loss claimed by the assessee on account...

  6. Addition made on account of gains from cancellation of forward contract - Allegation that, the so-called asset could not be created not any foreign exchange loan was...

  7. Foreign exchange gain on “Long Term Loan and Advance” be a capital accretion, should not be considered as taxable income.

  8. Risk Management and Inter-bank Dealings – Hedging of foreign exchange risk - Circular

  9. Hedging of exchange rate risk by Foreign Portfolio Investors (FPIs) under Voluntary Retention Route

  10. Foreign exchange gain taxability - restatement of foreign currency loan - AO directed to grant deduction of notional exchange loss in the subsequent assessment years - AT

 

Quick Updates:Latest Updates