Section-95: Profits chargeable to tax

Section-95 : Profits chargeable to tax

Section-95 seeks to propose that any benefit in cash or otherwise obtained on account of remission or cessation of any liability, for which a deduction has been allowed in an earlier year, shall be taxable in the year in which the benefit has been obtained. Learn to understand the section-95 as it is, it's help and useful links to follow.

Here onwards, "Act" refers to "Income Tax Act 2025"

1. Section-95 as per act

The provision of section 38(1)(a) shall apply in computing the income of an assessee under section 92, as they apply in computing the income of an assessee under the head "Profits and gains of business or profession"