Amended and updated notes on section 110 of Income Tax Act 1961 as amended by the Finance Act 2022 and Income-tax Rules, 1962. Detail discussion on provisions and rules related to determination of tax where total income includes income on which no tax is payable.
Chapter XII (Sections 110 to 115BBG) of the Income Tax Act 1961 deals with the provisions related to determination of tax in certain special cases. Section 110 of IT Act 1961-2023 provides for determination of tax where total income includes income on which no tax is payable.
Recently, we have discussed in detail section 101 (Framing of guidelines) of IT Act 1961. Today, we learn the provisions of section 110 of Income-tax Act 1961. The amended provision of section 110 is effective for financial year 2022-23 relevant to the assessment year 2023-24.
In this article, you will learn detail of the provisions of section 110 of the Income Tax Act, 1961 Bare Act read with the Income-tax Rules, 1962, regulations, notifications, circulars, orders and Press Release by CBDT, Income Tax Department and the Ministry of Law and Justice, Government of India.
Section-110: Determination of tax where total income includes income on which no tax is payable
Where there is included in the total income of an assessee any income on which no income-tax is payable under the provisions of this Act, the assessee shall be entitled to a deduction, from the amount of income-tax with which he is chargeable on his total income, of an amount equal to the income-tax calculated at the average rate of income-tax on the amount on which no income-tax is payable.