https://www.taxtmi.com/caselaws?id=56912 Section 41(2) could not be invoked where no depreciation had actually been allowed in earlier assessments, because "depreciation actually allowed" means depreciation computed and permitted in assessment, not merely notional depreciation. In the absence of any prior allowance, the written down value of the truck remained its actual cost for the charging provision, so no deemed balancing-charge income arose on sale. The addition based on hypothetical depreciation was therefore deleted, confirming that deemed profit cannot be brought to tax unless depreciation was actually allowed in computing earlier business income. en-us Tue, 03 May 1983 00:00:00 +0530 Tue, 07 Dec 2010 13:19:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=56912 Section 41(2) could not be invoked where no depreciation had actually been allowed in earlier assessments, because "depreciation actually allowed" means depreciation computed and permitted in assessment, not merely notional depreciation. In the absence of any prior allowance, the written down value of the truck remained its actual cost for the charging provision, so no deemed balancing-charge income arose on sale. The addition based on hypothetical depreciation was therefore deleted, confirming that deemed profit cannot be brought to tax unless depreciation was actually allowed in computing earlier business income. Case-Laws Income Tax Tue, 03 May 1983 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=56912