Quick Summary
The Central Board of Direct Taxes (CBDT) has released a comprehensive set of Frequently Asked Questions (FAQs) on Form No. 27, providing clarity on the reporting requirements related to capital assets that remain with a specified entity following its dissolution or reconstitution under the Income-tax Act, 2025. The FAQs aim to help taxpayers, partnerships, LLPs, and other specified entities understand their compliance obligations under Section 67(10) of the Income-tax Act, 2025, which correspon
Daily Limit Reached
You have reached your daily limit of 2 Free News
Subscribe to CCI PRO for unlimited access
Why Upgrade to CCI PRO?
- No Ads
- WhatsApp Community
- Daily E-Newsletter
- Unlimited News Access
- Profile Visitors
- Link Social Profiles
- Featured Job Posts
- Pro Badge
- Expert GST Guidance
- Unlimited Forum Replies
- Download Content in PDF
1 Year PLAN
1999
(Excl. of GST ₹359)
2 Years PLAN
3499
(Excl. of GST ₹629)
BEST VALUE
3 Years PLAN
4999
(Excl. of GST ₹899)
View all CCI PRO benefits
Already a PRO member? Login here for an ad-free experience. 011-411-70713
FAQ :
Form No. 27 is prescribed under Rule 50 of the Income-tax Rules to report the income attributable to capital assets that remain with a specified entity after its dissolution or reconstitution.
Every specified entity must file Form No. 27 if a specified person receives any capital asset or stock-in-trade during a tax year in connection with the entity's dissolution or reconstitution, and income is taxable under Section 67(10).
Form No. 27 must be submitted electronically along with the specified entity's income tax return for the tax year in which the dissolution or reconstitution event occurs.
Yes, a valuation report from a registered valuer is mandatory and must be uploaded when filing Form No. 27 to support the attribution of taxable income to capital assets.
Failure to file Form No. 27 or providing incorrect information can lead to disputes in capital gains computation, denial of deductions, and potential proceedings under the Income-tax Act.
No, Form No. 27 can only be filed electronically and is not available for offline submission.
CAclubindia
