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Income Tax Computation

This query is : Resolved 

If a proprietor sells its fixed assets at a profit, Example profit before Capital Gain Rs. 5,50,000 after depreciation.Net Profit after Capital Gain is Rs. 5,55,0000. Capital gain computed as follows; WDV Rs.10,000 Less Assets sold Rs.15,000, Capital Gain Rs.5,000.at the same time Block of assets method no capital gain, WDV of the block Rs.20,000 Less 15,000, this block include two more items.
Tax Computed as follows
Net Profit 5,55,000
Less Capital Gain 5,000
Taxable Income 5,50,000
My query is how the profit from sale of fixed assets add back in Winman Income tax filing Software
Please give answer


The block exists or ceases to exist?

Block Exist. This Block Three Items, Opening WDV as follows Item 1. 10,000 . Item 2. 5,000 & Item 3. 5,000

If block exists, then there is no any question of capital gain.

Sir, this case capital Gain Rs. 5,000 shown as income in profit and loss account. Net profit is Rs. 5,55,000 , including Capital gain. My query is how the profit from sale of fixed assets add back in Winman Income tax for calculating taxable income


Winman Income Tax Filing Software

have you created fixed asset block in winman? This is done at additional information under balance sheet

Yes, Fixed Assets Block in Winman.

Then winman takes care of it. It does NOT include it in profit, if the block exists.

Sir. Profit and Loss Account shown net profit is Rs. 5,55,000, including Capital Gain and the Profit and loss account Balance sheet finanlised. In Winman software profit & Loss account and Balance sheet filed and the net profit shown net profit is Rs. 5,55,000. Therefore how add back capital gain in tax computation

Please solve the problem

Why do you want to add back capital gain? Can you please explain.


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