Advance money received u/s 51

DEAR mayank

if 15000 is more than the fare market value of assest then excess amount shall be taxable in the hands of assesee otherwise it's exempt from tax

HI MAYANK,

IT WAS HELD IN SMITA N. SHAH VS. CIT (2005) THAT WHERE AFTER DEDUCTING ADVANCE RECEIVED FROM COST OF ACQUISITION, IF IT COMES TO MINUS, THEN THE COST OF ACQUISITION WOULD BE TAKEN AS NIL.

HOWEVER, EXCESS SHOULD BE TREATED AS INCOME FROM OTHER SOURCES AS THIS IS A RESIDUARY SECTION.

REGARDS,

MANOJ

thank you