https://www.taxtmi.com/caselaws?id=29295 For takeover of electricity undertakings, surplus is not chargeable as balancing charge under section 41(2) until the compensation or moneys payable become due and are finally ascertainable; where the amount remains under dispute and subject to later adjustment, tax cannot be fastened merely on possession or takeover. By contrast, capital gains under section 45 are taxed in the previous year of transfer, so assessment need not await final settlement of compensation. Expenditure incurred wholly and exclusively in connection with the transfer is deductible under section 48 in computing capital gains, and the deduction is not limited to the year of actual payment where the transfer itself is the taxable event. en-us Fri, 12 Mar 1982 00:00:00 +0530 Fri, 12 Mar 2010 10:31:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=29295 For takeover of electricity undertakings, surplus is not chargeable as balancing charge under section 41(2) until the compensation or moneys payable become due and are finally ascertainable; where the amount remains under dispute and subject to later adjustment, tax cannot be fastened merely on possession or takeover. By contrast, capital gains under section 45 are taxed in the previous year of transfer, so assessment need not await final settlement of compensation. Expenditure incurred wholly and exclusively in connection with the transfer is deductible under section 48 in computing capital gains, and the deduction is not limited to the year of actual payment where the transfer itself is the taxable event. Case-Laws Income Tax Fri, 12 Mar 1982 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=29295