regarding redemption of deep discount bond
This query is : Resolved
19 March 2009
what is the provison in respect of compoulsary redemption of deep discount bond before maturity
whether it is exempt or taxable
purchase amount Rs.5000/-
Redemption Before maturity-50000/-
purcahse on dated:07-jan-1995.
whether it is exempt or taxable
purchase amount Rs.5000/-
Redemption Before maturity-50000/-
purcahse on dated:07-jan-1995.
19 March 2009
there is no specific provision regarding taxability of deep discount bonds before maturity. As it is the premature redemption has nothing to do with taxability. If bonds purchased are in the nature of 'taxfree', then the amount of interest would be taxfree and vice versa.
in your case Rs.45000 would be taxable
in your case Rs.45000 would be taxable
19 March 2009
Interest income of deep discount bond should be offered for taxation in accordance with CBDT Circular 2/2002 dt 15/2/2002 and the TDS provisions thereon should be according to CBDT Circular 4/2004 dt 13/5/2004.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- REGARDING GST ON COMMERICIAL PROPERTY
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- TDS U/S. 194NF
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- Applicable TDS rate for sale of property in Nov 2024
- Capital gain consideration
- VERIFICATION OF REFUND RELATED
- GST Regis.
- ITC c/f from FY2022-23 to FY2023-24 entered the same in table 8C of GSTR9 of FY 2022-23, in FY23-24
- Late filling fees Demand by gst office
- IGST Credit-Show cause notice issued-confusion
- Short and Excess provision of expenses
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
Trending Online Classes
CAclubindia
