Question ID : 2803

FBT Treatment u/s. 115JB

Q. Whether FBT would be allowable deduction while computg book profit u,s. 115JB

Our Views :
1. U,s. 115JB sub-section (2) expnation (a) - the amount of come tax paid or payable and the provision thereof creae the amount of net profit as shown profit and account for the purpose of computg book profit.

2. Chapter XII-H of I.T. Act 1961 i.e. come Tax on Frge Benefit clearly mentioned that tax chargable on Frge Benefit is call come Tax

3. Section 115WA specify the tax on Frge Benefit as additional come Tax respect of Frge Benefit

Therefore refferg 2 and 3 pot the tax on Frge Benefit is primarly part of come Tax therefore it should be added to net profit u,s. 115JB sub-section (2) for computg book profit.
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