Section 40 Income Tax Act 2025 Special provision for computation of cost of acquisition of certain assets. 40. (1) For the purposes of computation of income under the head “Profits and gains of business or profession”, cost of acquisition of an asset which becomes property of— (a) an amalgamated company under a scheme of amalgamation; or… Read More »
Section 38 Income Tax Act 2025 Certain sums deemed as profits and gains of business or profession. 38. (1) The following sums shall be deemed to be profits and gains of business or profession and shall be chargeable to income-tax, in the manner specified below, subject to the provisions of sub-section (2):— (a) where an allowance… Read More »
Section 37 Income Tax Act 2025 Certain deductions allowed on actual payment basis only. 37. (1) The sums payable, as specified in sub-section (2), which are otherwise allowable as a deduction under this Act, shall be allowed as a deduction while computing the income chargeable under section 26 only in the tax year in which such… Read More »
Section 36 Income Tax Act 2025 Expenses or payments not deductible in certain circumstances. 36. (1) The provisions of this section shall have effect irrespective of anything to the contrary contained in any other provision of this Act relating to computation of income under the head “Profits and gains of business or profession”. (2) If… Read More »
Section 39 Income Tax Act 2025 Computation of actual cost. 53 39. (1) The actual cost of an asset used for the purposes of the business or profession shall be the actual cost54 to the assessee, as reduced by the following amounts:— (a) part of cost of asset, if any, met54 by any other person or authority, directly or… Read More »
Section 35 Income Tax Act 2025 Amounts not deductible in certain circumstances. 35. Irrespective of any other provision of Chapter IV-D, the following amounts shall not be allowed as deduction in computing the income chargeable under the head “Profits and gains of business or profession”:— (a) any amount on account of— (i) tax paid on… Read More »
Section 34 Income Tax Act 2025 General conditions for allowable deductions. 34. (1) Any expenditure (not being an expenditure of the nature specified in sections 28 to 33, 44 to 49, 51 and 52 and not being in the nature of capital expenditure or personal expenses of the assessee), laid out or expended wholly and… Read More »
Section 33 Income Tax Act 2025 Deduction for depreciation. 33. (1) A deduction in respect of depreciation of— (a) buildings, machinery, plant or furniture, being tangible assets; (b) know-how, patents, copyrights, trademarks, licences, franchises or any other business or commercial rights of similar nature, being intangible assets acquired on or after the 1st April, 1998, not… Read More »
Section 32 Income Tax Act 2025 Other deductions. 32. The following amounts shall be allowed as deduction in computing income chargeable under section 26:— (a) bonus or commission paid to an employee for services rendered, but only when such amount would not have been payable to the employee as profits or dividend if it had not been… Read More »
Section 31 Income Tax Act 2025 Deduction for bad debt and provision for bad and doubtful debt. 31. (1) The amount mentioned in column C of the Table below, in respect of any provision for bad and doubtful debts made by the assessee specified in column B thereof, shall be allowed as a deduction in… Read More »