Carry forward limitation on accumulated losses after amalgamation now capped by temporal ceiling for successor entities. The amendment inserts a proviso to section 72AA to provide that where a scheme of amalgamation is brought into force on or after 1st April, 2025, any accumulated loss of the predecessor entity that is deemed to be the loss of the successor entity in amalgamations involving banking companies, corresponding new banks or Government companies shall be carried forward in the hands of the successor entity for not more than eight assessment years immediately succeeding the assessment year for which such loss was first computed for the original predecessor entity; 'original predecessor entity' means the predecessor entity in respect of the first amalgamation.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Carry forward limitation on accumulated losses after amalgamation now capped by temporal ceiling for successor entities.
The amendment inserts a proviso to section 72AA to provide that where a scheme of amalgamation is brought into force on or after 1st April, 2025, any accumulated loss of the predecessor entity that is deemed to be the loss of the successor entity in amalgamations involving banking companies, corresponding new banks or Government companies shall be carried forward in the hands of the successor entity for not more than eight assessment years immediately succeeding the assessment year for which such loss was first computed for the original predecessor entity; 'original predecessor entity' means the predecessor entity in respect of the first amalgamation.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
TaxTMI 
