Category: Capital gain

FAIR MARKET VALUE is used to compute….the price that the capital asset would ordinarily fetch on sale in the open market on the relevant date ; and…..

Block of Assets is used for charging same rate of depreciation to a particular class of assets having same or similar characteristics. Income Tax Act has prescribed different rates for charging depreciation for different blocks of assets such as buildings,intangible assets,etc…Depreciation is charged mainly for the purpose of computing Capital Gain