Please Help: Tax u/s 115JB
Posted Date : 10-Apr-2012 , 02:46:28 pm | Posted By subhash jain
My clint pvt. ltd. co. deals in property business. During FY 2009-10, it incures loss of Rs.9 lacs as business loss mainly due to interest costs. and NIL depreciation loss. During FY 2010-11 it earns profit of Rs.5 Lacs on sale of land. Now my query is whether tax u/s 115JB is leviable on book profit of Rs.5 lacs (as there was NIL unabsorbed dep. b/f) or it doesn't have to pay any tax as after adjusting b/f buss. loss, its income comes to NIL.
Category : Income Tax | Answers : 3 | Comments : 1 | Hits : 410
Answers
Answer By: CA Satuti Mahajan
The company is liable to pay tax on the profits.
Answer By: CA Satuti Mahajan
The company is liable to pay tax on the profits.
Answer By: CA Satuti Mahajan
The company is liable to pay tax on the profits.
Comments
riddhi
30-Apr-2012 , 12:13:24 pmThe company will have pay tax on the book profits @ 18.5%.Because as per the income tax law,tax is to be paid on the higher of the following income: income tax calculated as per the head PGBP and as per MAT provisions Whichever is higher.