Correct head of income for premium on redemption of privately ...

Premium on redemption of privately placed NCDs is interest income, not capital gains. Long-term capital loss set-off restored. No perquisite on flat purchase.

Case Laws Income Tax

July 26, 2024

Correct head of income for premium on redemption of privately placed non-convertible debentures (NCDs) is interest income under Income from Other Sources, not capital gains, as NCDs are debt instruments and redemption amounts to realization of money advanced by creditor. Set-off of long-term capital loss against long-term capital gains restored to Assessing Officer for fresh computation. Disallowance u/s 14A relating to exempt income to be computed considering dividend yielding investments only as per precedent. No employer-employee relationship in tripartite agreement for flat purchase, hence no perquisite u/s 17(2)(iii)(a) for difference between actual cost and stamp duty value unless actual fair market value established.

View Source

← Previous Next →

Correct head of income for premium on redemption of privately ...

Premium on redemption of privately placed NCDs is interest income, not capital gains. Long-term capital loss set-off restored. No perquisite on flat purchase.

Case Laws Income Tax

July 26, 2024

You may also like:

Correct head of income - sale consideration received by the assessee from redemption of preference shares including the premium- capital income or income from other...

Setting off the long term capital loss arising on sale of shares not subject to STT against long term capital gain arising from sale of Shares subjected to STT exempt...

Capital gain from sale of commercial property - intra-head adjustment of loss - Benefit of carry forward of long term capital loss on the sale of shares for the current...

Capital Gain - Receipt of consolidated amount - where a gain from one of capital assets was a short-term capital gain while from other it was a long term capital gain,...

Regarding long-term capital gain determination, indexed cost of acquisition claimed by assessee at Rs. 45 lakhs for property valued over Rs. 45 lakhs, evidenced by...

Long term capital gain - sub-tenancy right - the assessee had a sub-tenancy right in the property and upon surrender thereof, the assessee received a sum which was...

Revision u/s 263 by CIT - Wrong claim of carry forward of long term capital loss - the long term capital gain, which is exempted under section 10(38) of the Act, would...

Long term capital gain - agricultural land - capital asset u/s 2(14) - land as situated within Municipal Limit or not?- it can be held that “Dharuhera” of District...

Long-term capital gain - cost of acquisition - capital gain worked out by the DVO - They have calculated the long-term capital gain simply by taking into consideration...

LTCG or STCG - Sale of ground floor of residential unit - whether it give rise to long term capital gains or short term capital gains - Computation from period of...

Correct head of income - the nature of gains from mutual fund redemptions - these gains were capital gains, not business income - no substantial question of law arises - HC

Capital Gain - Transfer u/s 2(47)(v) - assessment year - AO himself has given credit for the amount of capital gains declared for the assessment year 2013-14, while...

Capital gains tax exemption bonds issued u/s 54EC of the Income Tax Act, 1961, are long-term specified assets with a mandatory lock-in period of 5 years. The legislative...

During a search operation, the assessee surrendered a lump sum amount as alleged long-term capital gains from the sale of shares as additional income u/s 132(4). The...

Revision u/s 263 by CIT - set off of brought forward business loss from the income assessable under the head 'Capital Gain' - gain of depreciable assets by entering into...

Quick Updates: