Law: Income Tax Act, 1922

Section: 2(11)(i)(c)

(a) Income tax Act (XI of 1922)--S. 2 (11) (i) cl. (c) Previous assessment year Legislature can legislate or delegate to competent authority to pass enactment altering normal previous assessment year in case of newly set up business. A legislature can legislate or delegate to a competent authority power to pass an enactment altering a normal previous assessment year in case of certain newly set up business and providing an assessment year different from the normal financial year. (b) Income tax Act (XI of 1922) S. 2 (11) (i) cl. (c) Analysis of cl. (c) Assessment year in case of certain newly set up business. Sub clause (c) of section 2 (11) (i) of the Income tax Act, 1922, if analysed, comes to this that when a business has been set up for the first time in a financial year prior to the year for which assessment is made, the assessment year may be the period commencing from the date of setting up of the business to the 31st March next ; alternatively, it may be from the date of setting up of a business to the 1st date of a period determined by the, Central Board of Revenue under sub clause (b), or if the accounts of the assessee are made up of a period not exceeding twelve months from the date of the establishment of the business and no last date has been determined by the Central Board under sub clause (b), then .the assessee has the option of being assessed on the accounts for the period from, the date of setting up of his business up to the date to which his accounts have been so made up, that is to say, the option is given to the assessee only in the last case and not in the first two cases. The proviso to sub clause (c) gives a further option in case of accounts so made up to the effect that where the date up to which the accounts are made up by the assessee do not fall between the date of setting up of the business and the next following 31st March, it will be deemed as if there is no previous year for the said assessment year and the previous year which would otherwise have been determined according to the option exercised by the assessee will be deemed to be the previous year for the next succeeding assessment year. Commissioner of Income tax, Bombay…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492