Certain sums deemed as profits and gains of business or profession.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... specified below, subject to the provisions of sub-section (2):-- (a) where an allowance or deduction has been allowed in respect of any loss, expenditure or trading liability incurred by the assessee during any tax year, then,- (i) the value of any benefit accruing to the assessee by way of cessation or remission of such trading liability, including a unilateral act of write-off....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....asset becomes due-- (i) where the moneys payable for such asset together with the scrap value [A] is less than the actual cost of such asset [B], then- [A] - [C]; or (ii) in any other case,- [B] - [C]; (c) in a case where an asset representing expenditure of a capital nature on scientific research, referred to in section 45(1)(a)(i) is sold, without hav....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ount is withdrawn. (2) The provisions of sub-section (1) shall apply subject to fulfilment of the following conditions:- (a) in respect of sub-section (1)(a), only when an allowance or deduction has been made in assessment for any tax year towards the trading liability, loss or expenditure incurred; (b) in respect of sub-section (1)(b), only when the asset owned by the assesse....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... (4) In respect of sums referred to in sub-section (1)(a), if the benefit referred therein accrues to, or amount referred therein is obtained, by the successor in business, the value of the benefit or the amount shall be chargeable to income-tax as income in the hands of successor in business. (5) The provisions of sub-section (1)(b), (c), (d) and (e) shall apply in a tax year even if the bu....