As 22 help

Timming difference during the year is of Rs. 300000 on which DTL would be @ 50 % i.e= 150000

and on the unamortised value of Preliminary expenses ,,,The amount is relevant is what amout is going to be amortised during the year. i.e 1/5 of total amount. i suposed it as- 30000*5/4*1/5=7500(i assumed that one year has eplapsed for preliminary exp) this amount will create a timing diffrence for this year on which DTA will arise i.e. eual to = 7500*50/100= 3750 which is required to be adjusted / reversal during the year.

The final DTL balance will be= 150000-3750= 146250

Previuosly i was taekn wrong amount for calculation.so please ractify it. now as above.

Concepts of Preliminary expenses

Treatment as per As-26 

It is treated as start up costs and are alowed to be write off in the year of expenses.

however as per section 35 D of income tax allows that the same will be written of 1/5 each of year.

For detial u may read Committe notes on As-26 clarification reagrding As -26/

https://www.icai.org/resource_file/18535eacq2.pdf

and Section 35D provision of Income TAx Act 1961.

are 

https://lawzonline.com/bareacts/income-tax-act/section35D-income-tax-act.htm

solution given by me  is correct. ur ans i wrong buddy ,,, i want to know abt prelim exp