Section 41 Income Tax Act

is deduction is allowed in section 41 for remission of liability?
Replies (2)
Quick Summary
This discussion clarifies Section 41 of the Income Tax Act concerning the remission of liability. Remission implies a gain because a debt no longer needs to be paid. Consequently, this gain is subject to tax rather than being eligible for a deduction.

Remission means you need not to pay someone, i.e., you've gained some amount.

There is no question of allowing this gain as a deduction. Instead, this gain is charged to tax.

Agree with manish

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