Conditions

C

Where any remuneration to any partner determined in completed assessment of the firm is subsequently found not deductible under section 35(e) in terms of—

1. assessment or reassessment of the firm; or
2. any reduction or enhancement made in the income of the firm under this section or section 287 or 359 or 363 or 365 or

368 or 377 or 378; or

3. any order passed under section 245D (4) of the Income-tax Act, 1961 (43 of 1961) on the application made by the firm.

Where the share of the member in the income of the association of persons or body of individuals determined in completed assessment is subsequently found not included in the assessment of the member or, if included, is not correct in terms of—

1. assessment or reassessment of the association or body;
2. any reduction or enhancement made in the income of the association or body under this section or section 287 or 359 or 363 or 365 or 368

or 377 or 378; or

3. any order passed under section 245D (4) of the Income-tax Act, 1961 (43 of 1961) on the application made by the association or body.

Where there is recomputation of loss or depreciation for any tax year, and in consequence to such recomputation, the total income of the assessee for the succeeding year or years to which the loss or depreciation allowance has been carried forward and set off under the provisions of section 111(1) or 112(1)

or  113(2)  or  115(1)  is

required to be recomputed.

Where in the assessment for any tax year,—

1. the capital gain arising from the transfer of a capital asset is not charged under section 67 in terms of section 70(1)(c) or (d);

2. such gains are deemed under section 71(1) as “Capital gains” of the tax year in which the transfer took place at any time before the expiry of the period of eight years from the  date  of such transfer by reason of––
   1. such capital asset being converted by the transferee company into, or being treated by it, as stock-in-trade of its business; or
   2. the parent company or its nominees or, the holding company ceasing to hold the whole of the share capital of the subsidiary company.

Where in the assessment for any tax year, a capital gain on transfer of original asset, referred to in section 89 is charged to tax and within the period extended under that section––

1. the assessee acquires the new asset referred to in that section; or
2. deposits or invests

such capital gain.

Where in the assessment for any year, any deduction under section 144 has not been allowed on the ground that––

1. such income has not been received in convertible foreign exchange in India; or

(b) such income having been received in convertible foreign exchange outside India, or   having been

converted into

convertible foreign exchange outside India, has not been brought into India, by or on behalf of the assessee with the approval of the Reserve Bank of India or such other authority as is authorised under any law for the time being in force for regulating payments and dealings in foreign exchange,

and subsequently such income or part thereof has been or is received in, or brought into, India as required for the deduction.

Where in the assessment for  any  tax  year  or in any intimation or deemed intimation under section 270(1) for any tax year,––

1. credit for income-tax paid in any country outside India or a specified territory outside India referred to in Chapter IX-B has not been given on the ground that the payment of such tax was under dispute; and
2. subsequently such dispute is settled; and the assessee, within six months from the end of the month in which the dispute is settled, furnishes to the Assessing Officer—
   1. evidence of settlement of dispute and evidence of payment of such tax; and

(ii) an undertaking that no credit in respect of such amount has directly or indirectly been claimed or shall be claimed for any other tax year.

Where, in the assessment for any year, a capital gain arising from the transfer of a capital asset, being land or building or both, is computed—

1. by taking the full value of the consideration received or accruing as a result of the transfer to be the value adopted or assessed by any authority of a State Government for the purpose of payment of stamp duty as per section 78(1); and
2. subsequently such value is revised in any appeal or revision or reference referred to in section 78(2)(b).

1. Where in the assessment for any year, a capital gain arising from the transfer of a capital asset being a transfer referred to in clause (b) is computed––
   1. by taking the compensation or consideration as referred to in section 67(12)(a) or, as the case may be, the compensation or consideration enhanced or further enhanced as referred to in section 67(12)(b), to be the full value of consideration deemed to be received or accruing as a result of the transfer of the asset; and
   2. subsequently such compensation or consideration is reduced by any court, Tribunal or other authority.

2. The transfer and consideration referred to in clause (a) shall be,—
   1. Transfer by way of compulsory acquisition under any law;
   2. consideration that was determined or approved by the Central Government or the Reserve Bank of India.

Where a deduction has been allowed to an assessee in any tax year under section 152 in respect of any patent, and subsequently by an order of the Controller or the High Court under the Patents Act, 1970 (39 of 1970),—

1. the patent was revoked, or
2. the name of the assessee was excluded from the patents register as patentee in respect of that patent,

the deduction from the income by way of royalty attributable to the period during which the patent had been revoked or the period for which name of the assessee was excluded as patentee in respect of that patent, shall be deemed to have been wrongly allowed.

1. Where any income has been included in the return of income furnished by an assessee under section 263 for any tax year, and tax on such income has been deducted at source and paid to the credit of the Central Government as per the provisions of Chapter XIX-B in a subsequent tax year; and
2. an application is made by an assessee in such form, as may be prescribed, within two years from the end of the tax year in which such tax was deducted at source.