Gain on sale of depreciable assets

I am the director of a private ltd company. i am having a carry forwarded loss of Rs. 15.00 lakhs out of business. Now i am selling the depreciable property and i am getting a profit of Rs. 25 lakhs out of sale of depreciable assets. Now question is can we deduct the carry forwarded loss of Rs. 15 lakhs against the profit out of depreciable asset of 25.00 lakhs. Do i have to pay tax for 25 lakhs or 10 lakhs?
Replies (1)

sale of depreciable assets are to be charged as capital gains and that too as short term capital gains.

also c/f loss of a business can only be set off with business profit.

therefore you will have to pay tax on STCG of Rs 25lacs.

for more details visit and post : https://knowyourtaxation.blogspot.in/

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