sugar; tea plantation or growing agricultural produce, etc. These companies, however, issued debentures and received deposits from employees and in some case also from public ... that the assessee-company received deposits by way of contribution to debentures under a scheme or arrangement and, therefore, it is a residuary non-banking
deduction of Rs. 22.85 lacs in respect of premium on redemption of debentures. The assessee had claimed the said amount as deduction under ... account of premium on redemption of non-convertible debentures being in the nature of additional interest. The AO disallowed the assessee's said claim
computation LTCG
arising from transfer of LTC assets being bond or debenture other than capital indexed
bond issued by the Govt. Hence, as per above ... proviso to section 48 of the Act as these were
bonds and debentures. Third proviso to section 48 read as under:
"Provided also that
present
case. In the aforesaid case the said Corporation issued debentures in December,
1966 at a discount. The total discount on the issue ... time as was justifying such spread. It
was a case of issuing debentures at discount; whereas the assessee had actually
incurred the liability
residents of Rs. 0.6 crores on conversion of compulsory convertible
debentures (CCDs) without appreciating that the first proviso to section
56(2)(viib) specifically excludes ... viib) of the Act on the
transaction of conversion of Compulsorily Convertible
Debentures (CCDs) into Equity Shares of the assessee.
b. Applicability of exclusion clauses
facts and circumstances of the case, on the issue of addition of debenture redemption
reserve in computing Book profit u/s. 115JB the order ... name called, is to
be included in computing Book Profit. As the debenture redemption reserve is a reserve, the
same should be included
base for arriving at the standard deduction for the year included the debenture stock redemption reserve and the full amount standing in the general reserve ... inclusion of the sum of Rs. 24 lakhs on account of the debenture stock redemption reserve, was erroneous. He further indicated that the full amount
case of
IOL Ltd. 81 TTJ 525 (Cal)which hold that Debenture Redemption reserve is
neither a Reserve nor amount set aside to meet unascertained ... Raymond Ltd. (2012) 209 taxman 65 (Bom) has
held that the debenture redemption reserve is a ascertained liability and
therefore allowable deduction u/s. 115JB
also
issued, wherein the assessee contended that it issued 18% fully
convertible debentures of Rs.100 each during the year
aggregating value ... Assessee is in
appeal before us. The Ld.AR contends that the debentures are
converted into equity shares and CIT-A held that value
that the third provisio below Sec.48 covered
only Bonds and Debentures and Government Securities were
neither Bond nor Debenture and consequently Cost Inflation
Index ... Securities issued by State / Central Government are totally
different from Bonds and Debentures which are issued by a
company.
5. That since Government Securities
