Amandment to section 44ae

Tax queries 418 views 4 replies

Pl. clarify applicability of Sec 44AE in view of amendment made by Finance Act 2018 for current F.Y. 18-19 i.e. A.Y. 2019-20.The amended section uses the words "gross vehicle weight or unladen weight as the case may be @ Rs. 1000/- per ton. Now, the R/C of a heavy Goods Vehicle(HGV) mentions  both the weights i.e. Gross Vehicle weight 49 Tons and Unladen weight 12.2 Tons meaning thereby that the HGV can load maximum 36.8 Tons of Goods. Presumptive Income till March 18 was Rs. 7,500/-p.m. hence if Unladen Weight is taken it will be Rs. 12200/-per Truck  p.m. but if Gross Vehicle Weight is taken it will be Rs. 36,800/- per Truck p.m. making it about 5 times more than  of the present limit. You are requested to clarify why both the weights have simaltaneously been mentioned in the Section, which weight has to be considered for computing Income u/s 44AE and why the word  as the case may be  has been mentioned therein

Replies (4)
Sir iska answer Mila aapko?

is there any result found ??

When we read section 2 of Motor Vehicle Act, it is clear that Unladen weight will be applicable in case of tractor and road roller. So in my opinion for all other vehicles Gross vehicle weight will be applicable.

CBDT has clarified to transport association that gross vehicle weight will be applicable, attached circular


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