Section 50 → Section 65
Special provision for computation of capital gains in case of depreciable assets
Quick Answer
Section 50 of the Income Tax Act, 1961 (Special provision for computation of capital gains in case of depreciable assets) corresponds to Section 65 of the Direct Tax Code 2025 (Income-tax Act, 2025), effective 1st April 2026. Status: Retained.
Sec 50
Provision Summary
Capital gains on depreciable assets are always short-term. Gain arises only if block ceases to exist or sale value exceeds block value.
Sec 65
Provision Summary
Retained. Calculation seamlessly integrates with the business depreciation schedules.
Key Changes & Highlights
- No major changes. Aligned with Section 32 modifications.
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Frequently Asked Questions
What does Section 50 of the Income Tax Act 1961 deal with?
Section 50 (Special provision for computation of capital gains in case of depreciable assets) Capital gains on depreciable assets are always short-term. Gain arises only if block ceases to exist or sale value exceeds block value.
What is the new section number for Section 50 under the Direct Tax Code 2025?
Section 50 of the ITA 1961 maps to Section 65 of the Direct Tax Code 2025 (Income-tax Act, 2025), effective from 1st April 2026.
What is the status of Section 50 under the new tax code?
Section 50 is marked as "Retained" with status "Active". Impact: Medium - Prevents businesses from claiming long-term benefits on regular machinery.
What are the key changes to Section 50 under DTC 2025?
No major changes. Aligned with Section 32 modifications.
Disclaimer: This page is for educational and reference purposes only. Section mappings are based on publicly available drafts and circulars. Always consult a qualified Chartered Accountant before filing or making compliance decisions under the Direct Tax Code 2025.
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