Deferred tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

09 August 2012 If deferred tax credited to profit and loss a/c then it will be deducted from net income for tax computation.(i.e. income from business or profession)

CA CS Amit S. Kedia

CA CS Amit S. Kedia (Expert)
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09 August 2012 Deferred Tax is neither deductible nor it is chrgeable for income tax.
Since it is tax on notional Income/expense.

Querist : Anonymous

Querist : Anonymous (Querist)

09 August 2012 if net profit is Rs. 7,00,000/-
deffered tax credited to p/l is Rs. 50,000/-

What will be business income?

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CA CS Amit S. Kedia

CA CS Amit S. Kedia (Expert)
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10 August 2012 What do you mean by business income??
If you mean income from business & Profession then it will be same as Rs. 700000 subject to allowance/disallowance of some expenditure.