Gain from depreciable assets

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Querist : Anonymous

Querist : Anonymous (Querist)

23 June 2014 whether the gain from depreciable asset can be utilised for claiming exemption under section 54EC

Rupesh Jain

Rupesh Jain (Expert)
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23 June 2014 it will be taxable under the Head "Short term capital gain ".

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Nikhil Kaushik

Nikhil Kaushik (Expert)
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23 June 2014 Please note that 54EC is available to such gains only where the asset was held for more than 3 years before selling it away.

section 50 only provides for computation of gains...it doesnt mandate the property to be treated short term or long term capital asset.

you may refer COMMISSIONER OF INCOME TAX vs. ACE BUILDERS (P) LTD. (HIGH COURT OF BOMBAY), (2006) 281 ITR 210 (BOM)

COMMISSIONER OF INCOME TAX vs. RAJIV SHUKLA, HIGH COURT OF DELHI (2011) 334 ITR 138 (DEL)

COMMISSIONER OF INCOME TAX vs. ASSAM PETROLEUM INDUSTRIES (P) LTD., HIGH COURT OF GAUHATI (2003) 262 ITR 587 (GAU)

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