Investment in Shares

Hi all,

One of my clients (company) had once invested in shares of another company. Now the latter is wound up and the amount invested couldn't be retrieved. The investment is written off in the books of account and shown as a loss. My question is whether the loss can be allowed as an admissible expense for the purpose of Income tax act. There is no doubt that it is a capital loss. But still the transaction of above nature couldn't be perceived as transfer u/s 2(47).  

Replies (2)

NO ,IF PERSON CAN GET BENEFIT THEN HE TAKE EXEMPTION THAT IT IS CAPITAL GAIN BENEFIT THEN LOSS IS INCURRED IS A CAPITAL LOSS NOT ALLOWED DEBITED TO PROFIT & LOSS ACCOUNTS

it will be capital loss..

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 01 October 2026
Articled Assistant

KPSN & Associates LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 17 October 2026
Articled Assistant

RRPM & Associates LLP

Chennai

CA Inter

View Details
Company
10 October 2026
Accounts Associate Level 1

Abic and Mani Chartered Accountants

Kottayam

B.Com

View Details
Company
26 September 2026
Chartered Accountant

pushpganga ventures

Pune

CA

View Details
Company
Featured 03 October 2026
Accountant

A P Lodha and Associates

Jalna

B.Com

View Details
Company
ARTICLESHIP 28 September 2026
Junior Accountant

J S P M & Associates LLP

Pune

B.Com

View Details
Company
14 October 2026
Asst. Manager/Dy Manager (Costing)

manufacturing

Pune

CMA

View Details
Company
30 September 2026
Senior Accounts Executive

Codeboard Technology

Chennai

MBA

View Details