Profit before Tax as per PL (300)
Add: Depreciation as per Companies Act 1956 28
Add: Bad Debt 3
(269)
Less: Income from FD with bank 57
Less: Depreciation as per IT Act 43
Income from Business (369)
Income from other sources 57
GTI/TI (312)
Tax payable NIL
In this computation unabsorbed depreciation = 43. Is it correct to conclude that this unabsorbed depreciation is adjusted with other sources income or out of business loss (other than UD) 326, 57 is adjusted.
Please comment.
CAclubindia
