https://www.taxtmi.com/caselaws?id=773830 The HC ruled in favor of the assessee regarding set-off of business losses against capital gains from sale of depreciable assets. The court held that when an assessee sells depreciable business assets like buildings, plant and machinery, the gain to the extent of depreciation recoupment constitutes business income in substance, even if assessed under capital gains head. Under Section 72(1), brought forward business losses can be set off against such gains as they retain business income attributes. The court distinguished between computation requirements under different sub-sections and allowed the set-off despite the income being classified under capital gains head rather than business profits. en-us Tue, 17 Jun 2025 00:00:00 +0530 Sat, 28 Jun 2025 08:31:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=773830 The HC ruled in favor of the assessee regarding set-off of business losses against capital gains from sale of depreciable assets. The court held that when an assessee sells depreciable business assets like buildings, plant and machinery, the gain to the extent of depreciation recoupment constitutes business income in substance, even if assessed under capital gains head. Under Section 72(1), brought forward business losses can be set off against such gains as they retain business income attributes. The court distinguished between computation requirements under different sub-sections and allowed the set-off despite the income being classified under capital gains head rather than business profits. Case-Laws Income Tax Tue, 17 Jun 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=773830