https://www.taxtmi.com/caselaws?id=121454 Deduction under section 36(1)(viia) must be computed after giving effect to section 36(1)(viii), and only profits directly derived from long-term finance qualify for that deduction; lease rentals, consultancy fees, guarantee commission and similar receipts do not. Depreciation on leased assets may be allowed where the transaction is genuine, while bad-debt adjustment is confined to the opening provision balance and not the current year's provision. Expenditure to increase authorised capital is capital in nature, diminution in value of investment shares is not deductible as business or capital loss, and discarded assets may qualify for depreciation under the block system. Interest on non-performing assets is taxable on receipt basis where the special rule applies, and reassessment requires fair opportunity and confrontation of material. en-us Thu, 30 Apr 2009 00:00:00 +0530 Mon, 30 Jul 2012 17:16:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=121454 Deduction under section 36(1)(viia) must be computed after giving effect to section 36(1)(viii), and only profits directly derived from long-term finance qualify for that deduction; lease rentals, consultancy fees, guarantee commission and similar receipts do not. Depreciation on leased assets may be allowed where the transaction is genuine, while bad-debt adjustment is confined to the opening provision balance and not the current year's provision. Expenditure to increase authorised capital is capital in nature, diminution in value of investment shares is not deductible as business or capital loss, and discarded assets may qualify for depreciation under the block system. Interest on non-performing assets is taxable on receipt basis where the special rule applies, and reassessment requires fair opportunity and confrontation of material. Case-Laws Income Tax Thu, 30 Apr 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=121454