10-29-2011, 12:43 AM
Assalam o Alaikum
Your reply was very comprehensive student of law and was based on the assumption that the car was not used for the purpose of business hence no deduction under section 22 is permissible. so any difference between the selling and the buying price is capital loss. if u could further explain the following scenario
should this loss of 150 thousand be reflected at s.no. 19 of the income tax return and a set off of this loss against income under any other head be worked out (section 56) and the taxable income be shown 450 thousand (600000-150000) or the taxable income will be 600000 as explained by you and this loss will become a part of wealth reconciliation.
Regards
Your reply was very comprehensive student of law and was based on the assumption that the car was not used for the purpose of business hence no deduction under section 22 is permissible. so any difference between the selling and the buying price is capital loss. if u could further explain the following scenario
should this loss of 150 thousand be reflected at s.no. 19 of the income tax return and a set off of this loss against income under any other head be worked out (section 56) and the taxable income be shown 450 thousand (600000-150000) or the taxable income will be 600000 as explained by you and this loss will become a part of wealth reconciliation.
Regards
