https://www.taxtmi.com/caselaws?id=11686 Composite slump consideration for transfer of a going concern cannot be taxed as business income under section 41(2) unless the portion attributable to depreciable assets is separately and reliably ascertainable. A balance sheet or general valuation does not establish the computable allocation required where consideration is a single composite amount. The slump price therefore falls outside section 41(2) where no distinct asset-wise attribution can be made. Transfer of the undertaking may nevertheless attract capital gains tax where the undertaking comprises capital assets and their cost of acquisition is determinable. Quantification of the taxable capital gains requires reconsideration in accordance with law. en-us Tue, 13 May 2003 00:00:00 +0530 Fri, 05 Feb 2010 19:06:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=11686 Composite slump consideration for transfer of a going concern cannot be taxed as business income under section 41(2) unless the portion attributable to depreciable assets is separately and reliably ascertainable. A balance sheet or general valuation does not establish the computable allocation required where consideration is a single composite amount. The slump price therefore falls outside section 41(2) where no distinct asset-wise attribution can be made. Transfer of the undertaking may nevertheless attract capital gains tax where the undertaking comprises capital assets and their cost of acquisition is determinable. Quantification of the taxable capital gains requires reconsideration in accordance with law. Case-Laws Income Tax Tue, 13 May 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=11686