Section 54ec

This query is : Resolved

ARTHI (Querist)
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04 August 2015 Dear Friends / Experts,

Please guide me on the following, IF POSSIBLE:

Assessee has purchased REC Bond 6% p.a. (Benefits under Section 54EC) for Rs.50 Lacs on 1st July, 2014.

Query

While preparing Computation of Income, should we mandatorily consider Accrued Interest Income for the period from 01/07/14 to 31/03/15 or we may simply ignore the Accrued Interest Income and compute only on receipt / cash basis.

Please advise the appropriate manner to follow.

Your reply, please..............

Thanks in advance for possible replies from all concerned.

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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05 August 2015 Int income is income from other sources and as per sec 145 assessee has option to either keep books of accounts on recipet or accrual basis so for income from other sources u can follow reciept basis.