Amendment of section 43

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....ere, in a demerger, any capital asset is transferred by the demerged company to the resulting company and the resulting company is an Indian company, the actual cost of the transferred capital asset to the resulting company shall be taken to be the same as it would have been if the demerged company had continued to hold the capital asset for the purpose of its own business : Provided that....

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.... after sub-item (B), the following sub-item shall be inserted, namely :- "(C) in the case of a slump sale, decrease by the actual cost of the asset falling within that block as reduced - (a) by the amount of depreciation actually allowed to him under this Act or under the corresponding provisions of the Indian Income-tax Act, 1922 (11 of 1922) in respect of any previous year rele....

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....iately preceding previous year shall be reduced by the book value of the assets transferred to the resulting company pursuant to the demerger. Explanation 2B. - Where in a previous year, any asset forming part of a block of assets is transferred by a demerged company to the resulting company, then, notwithstanding anything contained in clause (1), the written down value of the block of as....