https://www.taxtmi.com/caselaws?id=276655 In computing a business loss for set-off under the Income-tax Act, depreciation must be taken into account and added to the loss. Section 10 governed computation of business profits and allowance for depreciation, but it did not create a separate rule for loss computation. The proviso to Section 10(2)(6)(b) was directed only to cases where depreciation could not be fully given effect because there were no profits or gains, and it did not exclude depreciation from the true business loss. The loss of profits or gains was treated as the year's commercial result, so ordinary commercial principles required diminution in the value of buildings, machinery, plant and furniture to be considered. en-us Thu, 28 Nov 1929 00:00:00 +0530 Thu, 15 Nov 2018 12:22:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=276655 In computing a business loss for set-off under the Income-tax Act, depreciation must be taken into account and added to the loss. Section 10 governed computation of business profits and allowance for depreciation, but it did not create a separate rule for loss computation. The proviso to Section 10(2)(6)(b) was directed only to cases where depreciation could not be fully given effect because there were no profits or gains, and it did not exclude depreciation from the true business loss. The loss of profits or gains was treated as the year's commercial result, so ordinary commercial principles required diminution in the value of buildings, machinery, plant and furniture to be considered. Case-Laws Income Tax Thu, 28 Nov 1929 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=276655