MAT Computation: Capital Losses from Asset Impairment Cannot Reduce Book Profit as Per Section 2(24) Income Tax Act.

MAT Computation: Capital Losses from Asset Impairment Cannot Reduce Book Profit as Per Section 2(24) Income Tax Act. https://www.taxtmi.com/highlights?id=63917 MAT computation - Disallowances on account of loss on revaluation of fixed assets - The expression 'income defined under Section 2(24) of the Act does not include such capital losses. The capital loss claimed on account of impairment of assets, in our view, is liable to be adjusted for the purposes of determination of book profit similar to the adjustment available in respect of capital receipts not taxable under the normal provisions of the Act. - Assessee is not entitled to reduce the book profit by the capital loss debited to the P&L account which is subject matter of qualification by Auditors. - AT en-us Tue, 07 Jun 2022 10:48:03 +0530 Tue, 07 Jun 2022 10:48:03 +0530 TaxTMI RSS Generator MAT Computation: Capital Losses from Asset Impairment Cannot Reduce Book Profit as Per Section 2(24) Income Tax Act. https://www.taxtmi.com/highlights?id=63917 MAT computation - Disallowances on account of loss on revaluation of fixed assets - The expression 'income defined under Section 2(24) of the Act does not include such capital losses. The capital loss claimed on account of impairment of assets, in our view, is liable to be adjusted for the purposes of determination of book profit similar to the adjustment available in respect of capital receipts not taxable under the normal provisions of the Act. - Assessee is not entitled to reduce the book profit by the capital loss debited to the P&L account which is subject matter of qualification by Auditors. - AT Highlights Income Tax Tue, 07 Jun 2022 10:48:03 +0530 https://www.taxtmi.com/highlights?id=63917