Income-tax Act, 2025

Tax on accreted income. - Section 352

Tax on accreted income.

352. (1) Every specified person shall, in addition to the income-tax chargeable in respect of his total income, be liable to pay additional income-tax on accreted income at the maximum marginal rate in any of the cases specified in column B(i) and (ii) of the Table in sub-section (4).

(2) The accreted income referred to in sub-section (1) shall be computed using the following formula:

A = B C

where,

A = Accreted income;

B = Aggregate fair market value of the total assets of the specified person, as on the date specified, in column C of the Table in sub-section (4), computed in accordance with such method of valuation, as may be prescribed;

C = Total liability of such specified person, as on the date specified in column C of the said Table, computed in accordance with such method of valuation, as may be prescribed.

(3) The accreted income, computed as per the provisions of sub-section (2) shall be reduced by such amount of accreted income as is attributable to specified assets, and liabilities, if any, related to such assets.

(4) The specified person and the principal officer or trustee of such specified person shall be liable to pay the tax on accreted income to the credit of the Central Government within fourteen days from the due date specified in column D of the Table below:

TABLE

Sl. No.

Case

Specified date

Due date for the payment of tax on accreted income

A

B

C

D

(i)

(ii)

1.

The registration granted to the specified person under any specified provision has been cancelled or withdrawn.

The specified person has preferred an appeal against the order of cancellation.

The date of the order cancelling the registration.

Date of receipt of the order in any appeal, confirming the cancellation of the registration, by the spe .... To read the full section download the app from Google Play store