https://www.taxtmi.com/highlights?id=83423 Deemed divided u/s 2(22)(e) requires arriving at accumulated profits by deducting depreciation as per Income-tax Act rates. Bombay High Court in Navnit Lal C Javeri and Jamnadas Khimji Kothari cases held that for calculating accumulated profits u/s 2(22)(e), depreciation should be deducted at rates prescribed by Income-tax Act, not as per company's balance sheet. Profits disclosed in balance sheet are subject to adjustment by deducting depreciation as per Income-tax Act rates to determine accumulated profits for deemed dividend taxation u/s 2(22)(e). en-us Wed, 27 Nov 2024 08:58:59 +0530 Wed, 27 Nov 2024 08:58:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=83423 Deemed divided u/s 2(22)(e) requires arriving at accumulated profits by deducting depreciation as per Income-tax Act rates. Bombay High Court in Navnit Lal C Javeri and Jamnadas Khimji Kothari cases held that for calculating accumulated profits u/s 2(22)(e), depreciation should be deducted at rates prescribed by Income-tax Act, not as per company's balance sheet. Profits disclosed in balance sheet are subject to adjustment by deducting depreciation as per Income-tax Act rates to determine accumulated profits for deemed dividend taxation u/s 2(22)(e). Highlights Income Tax Wed, 27 Nov 2024 08:58:59 +0530 https://www.taxtmi.com/highlights?id=83423