https://www.taxtmi.com/caselaws?id=71544 Section 48(2) deduction for long-term capital gains must be computed on the amount remaining chargeable after giving effect to the exemption under section 54E, not on the gross figure computed only under section 48(1)(a). The capital gains provisions were construed as a single scheme, with section 45 operating subject to the exemption mechanism in section 54E. On that harmonised reading, the exempt portion of gain is excluded before the deduction is worked out, because allowing the deduction on the larger base would extend relief to income not chargeable to tax. en-us Mon, 29 Jan 1990 00:00:00 +0530 Mon, 13 Jun 2011 17:01:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=71544 Section 48(2) deduction for long-term capital gains must be computed on the amount remaining chargeable after giving effect to the exemption under section 54E, not on the gross figure computed only under section 48(1)(a). The capital gains provisions were construed as a single scheme, with section 45 operating subject to the exemption mechanism in section 54E. On that harmonised reading, the exempt portion of gain is excluded before the deduction is worked out, because allowing the deduction on the larger base would extend relief to income not chargeable to tax. Case-Laws Income Tax Mon, 29 Jan 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=71544