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IS UNABSORBED DEPRRECIATION CAN BE SETOFF FROM SALARY OR NOT

Tax queries 1285 views 21 replies

CAN UN ABSORBED DEPRECIATION CAN BE SETOFF UNDER THE HEAD SALARY AND NOT.

Replies (21)

Not against  Salary.., UNABSORBED DEPRECIATION CAN NEVER BE STEOFF AGAINST SELARY

no it can't be setoff

It is mentioned that unabsorbed depreciation can be set-off against any other income other than income chargeable under the head salries.

now my doubt is whether it can be set-off against winnings from lotteries, crossword puzzles etc..??? as these incomes are taxable irrespective of the income levels of the concerned assesse, are they elgible for giving relaxation against unabsorbed depreciation????

it is no where mentioned that they can not be used for setting off losses or even unabsorbed can not be set-off against that incomes....

so can we set-off or consider it as a laccunae?

no

Sr.No.

Section

 

Types of Loss

 

Set Off against Income

Can be carried
forward (subject to Notes 4 and 8) mmfor

In same Assessment Year

In subsequent Assessment Year

1

71/72

Business or Profession(other than speculation or depreciation)

Business Income Head or any other head (other than salaries)

Business Income(Note 1)

8 years

2

32(2)

Unabsorbed Depreciation

Business Income or any other head

Business Income or any other head

Indefinitely

unabsorbed depn. cannot be setoff against salary......

no business loss can be set off against income under the head whether unabsorbed dep or any other loss under the hear business or profession

 NO

 Unabsorbed depreciation should be first set off against business income and then with any other head (Except salaries)

it cant be set off against salary

All those who are supporting that Unaborbed Depreciation cannot be setoff against Salary, Can please Justify with some provision, case law, etc because i couldn't find it anywhere..

 

Answer to Trinath query is Unabsorbed dereciation cannot be set off against Winning from lottery, etc (Specific Provision of taxability of Winning from lotteries, etc will prevail over the general provision of setting off of Unabsorbed Depreciation)

No, unabsorbed depreciation cannot be set off against salary Income.

it can be sett off


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