Tax implications of transactions which are void ab initio

Tax queries 611 views 2 replies

Hello Everybody, 

Query:

What will be a tax implication of a transaction which is adjugded as Void ab initio (or even cancelled for that matter) in succeeding AY of the relevant AY.

 

Regarding the query:

I had come across a similar query few days back which involved transfer of property. Hence, i have generalised the question to include various scenarios.

 

Replies (2)

Void in which sense?Tax on illegal income is computed.Void nature has to be explained.

Void may be cancellation or annulment of contracts /agrement due to coersion or force or maybe due to change in circumstances cruicial to the contract.


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