Related to sec 44bb of income tax act
This query is : Open
19 November 2013
whether refining of crude oil amounts to an activity of production of mineral oil in context of section 44bb of income tax act , 1961.if answer is affirmative please provide reasons.
19 November 2013
As per explanation to the Section Mineral Oil includes petroleum and natural gas.
.
Though, the name mineral oil by itself covers a wide range of oil varieties which further includes white oil, liquid paraffin, and liquid petroleum. Baby oil refers to a perfumed mineral oil.
(Source Wikipedia)
Most often, mineral oil is a liquid by-product of the distillation of petroleum to produce gasoline and other petroleum-based products from crude oil.
.
So after carrying on certain processes on the crude oil, mineral oil is obtained, which can be differentiated from its mother
substance easily from various angles like colour, odor, characteristics etc.
.
So, in my view , it can be said that for getting the mineral oils, crude oil is refined and it amounts to be a production activity.
.
.
Though, the name mineral oil by itself covers a wide range of oil varieties which further includes white oil, liquid paraffin, and liquid petroleum. Baby oil refers to a perfumed mineral oil.
(Source Wikipedia)
Most often, mineral oil is a liquid by-product of the distillation of petroleum to produce gasoline and other petroleum-based products from crude oil.
.
So after carrying on certain processes on the crude oil, mineral oil is obtained, which can be differentiated from its mother
substance easily from various angles like colour, odor, characteristics etc.
.
So, in my view , it can be said that for getting the mineral oils, crude oil is refined and it amounts to be a production activity.
.
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?
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- ITC temporary reversal and reclaim
- Applicable TDS rate for sale of property in Nov 2024
- Inventory of finished goods
- Tds on building rent monthly
- GST ON EXPORT COMMISSION
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- Confusion around Form 26QB fields
- Adjustment entry in the case of Individual and HUF on 31st March
- Stock difference tax applicable on composite rate or normal rate
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
