115JC - AMT FOR PARTNERSHIP FIRMS

CA Ameetkumar Jain (Practising Chartered Accountants)   (83 Points)

09 December 2019  

Dear Members,

My client is a partnership firm having business income and Income from other sources. For the AY 2017-18 & 2018-19 they have filed ROI in which PGBP is having loss and IOS +. Both have been set off as per the provision of the Act and thereafter no taxable income exists. However, CPC while processing the ROI taxed the income as per the provision of Sec. 115JC. As per my knowledge,

115JC is applicable only if:

- the assessee should be Non Corporate.

- Such assessee should have claimed deduction under

  • chapter VI heading C ( Deductions in respect of certain incomes except u/s 80P) or
  • under section 10AA ( Profit derived by SEZ Units) or
  • Section 35AD ( Deduction for expense on specified business).

In my case the first condition is satisfied that it is an non- corporate assessee, however second condition is not getting fulfilled and therefore 115JC is not applicable.

 Kindly give your advice in this regard.

Thank you in advance.