https://www.taxtmi.com/caselaws?id=12127 The court ruled in favor of the assessee, holding that the sale of a sugar factory as a going concern did not trigger liability under section 41(2) of the Income-tax Act, 1961 for capital gains tax. The court emphasized that section 41(2) applies when specific assets are sold, not the entire business, and that itemwise valuation is crucial for depreciable assets. As the sale in this case was of the entire factory as a going concern without individual asset consideration, section 41(2) was deemed inapplicable. The Tribunal's decision was upheld, dismissing the appeal with no costs awarded. en-us Tue, 21 Jan 2003 00:00:00 +0530 Wed, 17 Feb 2010 17:44:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=12127 The court ruled in favor of the assessee, holding that the sale of a sugar factory as a going concern did not trigger liability under section 41(2) of the Income-tax Act, 1961 for capital gains tax. The court emphasized that section 41(2) applies when specific assets are sold, not the entire business, and that itemwise valuation is crucial for depreciable assets. As the sale in this case was of the entire factory as a going concern without individual asset consideration, section 41(2) was deemed inapplicable. The Tribunal's decision was upheld, dismissing the appeal with no costs awarded. Case-Laws Income Tax Tue, 21 Jan 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=12127