Webb170 of the Income Tax Act to treat such slump sale as succession of a business and thereby apply the relevant provisions of the Income Tax Act in the case of a buyer. Section 170 of the Income Tax Act governs the taxation in case of succession of a business as follows: Where a person carrying on any business or profession (such person Webb23 apr. 2024 · Slump sale has been recognized under Section 2 (42C) of the Income Tax Act, 1961. As per the provisions, slump sale has been defined as transferring one or more undertakings in one go, without any specific value assigned to the liabilities or the assets.
An overview of Tax on Slump Sale - Enterslice Fintech Pvt Ltd
WebbAccording to section 2(42) (C) of the Income Tax Act, 1961. For tax purposes, a slump sale is one in which an owner of the undertaking sells it without taking into account the … Webb23 feb. 2024 · Section 50B of the Income Tax Act, 1961 – Special provision for computation of capital gains in case of slump sale. Charge ability Section. Section 50B (1) Any profits or gains arising from the slump sale effected in the previous year shall be chargeable to income-tax as capital gains arising from the transfer of long-term capital … ravin hair pointy breasted fishnet
Concept of Slump Sale & Taxation Issues in India Request PDF
WebbSection II (42C) of the Income Tax Act of 1961 states that a "Slump Sale involves transferring one or more than one commercial activities of an organisation. It is done without assigning the value to the individual assets and liabilities. It involves: A sale of one or more than one undertaking Webb23 apr. 2024 · Slump sale has been recognized under Section 2 (42C) of the Income Tax Act, 1961. As per the provisions, slump sale has been defined as transferring one or … Webb10 dec. 2024 · The definition of slump sale under section 2 (42C) of the Income Tax Act, 1961 (‘IT Act’) is restricted to only transfer resulting from sale and it does not include transfers under section 2 (47) of the IT Act. The court held that if the entire running business is sold in one go, it is also considered as slump sale. simple boats