Is the point clear?
Now I want to discuss one more thing with you.
Discussion, my dear, is about the fact that
For example, today I bought an asset for a specified
business.
Ok Sir?
I bought an asset for a specified business.
And I
See This is my specified business.
I bought an asset for it.
For example, that asset was worth 10 crores.
Ok? I had deducted 10 crores from my P&L account.
I had deducted 10 crores from my P&L account.
Now, for example,
I go and sell this asset in the market tomorrow.
After a year or two.
My requirement for this asset is over.
And I, my dear, sell this in the market.
And I sold it in the market for 20 crores.
Sir, I sold it so expensively.
It was an asset whose value was increasing day by day.
Its value was increasing day by day.
Its demand was increasing day by day.
People started talking about it in the market.
They started spreading the word about it.
In the market, there is still a discussion about how the
coin of C.S.
Shreygupta works.
In the market, there is still a discussion about how the
coin of C.S.
Shreygupta works.
That what machine is it because of which their specified
business is profiting from profit to profit?
So, the value of that machine in the market
I sold it for 20 crores.
I sold the machine for 20 crores.
I bought it for 10 crores and sold it for 20 crores.
Sir, whatever happens, don't put any capital gain in it.
The government said that whatever your profit will be, the
entire sale price, will be considered as the income of PGPP.
Don't minus anything from this.
Why not?
Because already, if you think logically, we have already
made its value zero.
Here, you bought an asset worth 10 crores.
The year you bought it, we gave you its value.
Here, you bought it worth 10 crores.
Take the expense of 10 crores.
Reduce your profit.
In your hands, its value will be zero.
So, however much it will be sold, in your hands, its sale
price will be considered as the income of PGPP.
This is what is written in your notes.
Don't put any capital gain in it.
Okay, sir.
No problem.
Now, understand the second case.
Understand the second case.
The second case is, like I had a specified business, and my
export business was also going on.
This is a specified business.
And this is my export business.
What did I do?
The asset of this specified business, was like a machine to
me.
The asset of this specified business, was like a machine to
me.
And let's say, that machine could be used for both.
I could use it for specified business and I could use it
for my export business.
and I could use it for my export business.
My specified business was going on.
It was growing day and night.
But, the market went bankrupt.
And my business stopped for a few months.
Now, what should I do with this machine?
Should I get rid of this machine?
What did I do?
I transferred this machine to this specified business.
And, my export business was going on very well.
So, I said, this machine is good for export business.
So, I put this machine permanently in my export business.
So, I permanently transferred this machine to my export
business.
to my export business.
For this, is the same opening WDV minus if I do some sales
and this will be my WD on which depreciation will be applied
Now what will I take in actual cost of this machine because
a machine has been transferred to me
What will I take in actual cost of this machine
My dear, I will take the actual cost of this machine which
is the original price of this machine
I bought it for 10 crore rupees so the price of 10 crore
rupees minus the depreciation which I did not get but I
should have got it
I should have got it if this machine would have been used
here from the beginning
Did I give depreciation here in case of specified business
in case of specified business or did I give depreciation to
it? No
I gave it 100% deduction that you come, spend and take the
machine 100% deduction, you take it
I did not get any depreciation here either I gave it 100%
deduction but here, what will happen the actual value of
the machine the depreciation that should have been given
minus that that will become my actual cost for this my
actual cost will become and when the cost will become for
this then it will also be accepted because the government
will say we gave you 100% deduction and now we feel that we
have made a big mistake that we trusted a person like you
and gave him a deduction of 10 crore
you turned out to be a mastermind you took a deduction of
10 crore rupees from here and transferred it to the export
side and you are making a profit from there you are taking
depreciation you have earned 100% here and here you are
taking depreciation the government said call them here I
will set them how will you set them? the government said my
dear, you have done a great job you do one thing this will
become your PGPP income what? the same the deduction that
you got minus the depreciation
should have been this value will become your PGPP income
look at this
it will become your PGPP income the deduction that you took
100% minus 100% means 10 crore rupees minus 5 years 7 years
whatever you used 4 years the depreciation of those 4 years
should have been there although it is not there but it
should have been there minus that the value will become
your PGPP income
look at this are the points clear?
sir, if this specified business if I had one more or any
other specified business if this specified business is 1
and this specified business is 2 and this machine for
example because there is a problem here so I said let's use
this in another specified business so should I transfer
this machine there? so in that case should my PGPP income
be taxable? will this point be used in that case also? sir,
in that case that point will not be used because you are
not using it in that specified business
ultimately your intentions are good your intentions are
good and your promises are true you said that you bought
the machine for specified business although you are not
using it for specified business but you are using it for
business number 2 so in that case we will not use any of
your income in that case your PGPP income will not be there
but when will it be there? when you transfer it in
non-specified sir, I have explained a lot whatever is left
you will understand in the reading let's see
let's see what are specified business I am telling you the
provisions let's see what are specified business which ones
are specified business keep discussing with me this concept
is over now we are just reading for formality
our concept is over of specified business let's see what is
written investment linked tax incentive you get tax
incentive which is related to investment you have invested
in specified business you will get tax incentive there is a
list of specified business which ones you have to do listen
to me if you want to do any business in your life you can
think of coming in specified business because whatever
profit you show whatever capital expense you will do
against that you will reduce you have a
of 1 crore listen to me you have a profit of 1 crore you
bought a machine of 10 crore I am giving you an advice you
have a profit of 1 crore you bought a machine of 10 crore
government said take 10 crore of 10 crore here 1 crore,
here 10 crore minus 9 crore in books, not in your pocket
minus 9 crore you have a loss here you can carry this loss
forward suppose next year you have a good income of 25
crore suppose next year you have a good income of 25 crore
earlier if you had done some other
you would have paid tax on 25 crore now what will you do
you will reduce 9 crore from 25
If you have a specified business, you can invest in it and
you can think of doing it.
Let me discuss what are the specified businesses that we
have.
Let's move on to the next topic.
What is specified business?
Setting up and operating a cold chain facility.
Cold chain facility.
A warehousing facility.
This is a warehouse.
Warehouse is for agriculture.
Storing agricultural produce.
Is it written?
Can I do something for electronic produce?
If there is a warehouse for electronic produce, can I
invest in it?
Sir, in that case, no.
If there is a warehouse, if you store agricultural produce
there, then it will be considered specified business.
Electronics, garments, that will not be considered.
We also made a mistake. We set up a warehouse, but it was a
garment business.
It was not considered specified business.
We spent money, but we did not get anything.
I am claiming depreciation on my building.
I am claiming depreciation on that.
But you also know the depreciation.
How much will I get? 10%.
It will take 10 years to reach 100%.
10-12 years.
If it was normal, I would have got it now.
These are some points in practical life.
Look at the image of the warehouse.
Next.
Is there a cross-country natural gas crude petroleum oil
pipeline?
If you have a pipeline, take this.
If you open a hotel above 2 stars, then this.
If you open a hospital above 100 beds, not a small nursing
home, if you open a hospital above 100 beds, then this.
If you have a slum development or rehabilitation project,
developing and building housing project, under a notified
scheme for slum redevelopment, if you are demolishing slum
houses and redeveloping them, and building flats, recently,
Adani got a contract for Dharavi slum.
If you have a slum redevelopment project, what will happen
to that?
It will be specified business.
If you buy a machine for that, if you do any capital
expense, there will be a 100% deduction.
These businesses don't just enter anywhere.
They make a whole planning and enter the business.
Which business should we go to, where we get maximum tax
benefit?
Who likes to give income tax from his pocket?
No one likes it.
Everyone thinks of saving in tax.
This is a slum.
If you develop this, it will become a slum redevelopment
project.
Production of fertilizers in India.
If you are making an inland container depot, beekeeping,
another warehousing facility for sugar.
This is for sugar.
If you put a slurry pipeline, transportation of iron ore.
These are 2-3 points.
These are your specified businesses.
You will get a 100% deduction of capital expense.
If it is before business, the year you start the business,
you will get the expenses.
These are some of their conditions.
Come sir.
Conditions are the same.
Plant and machinery should be new.
When you buy machinery, that plant and machinery should be
new.
But it is possible that 20% will be old.
20% plant and machinery is written here, that it can be old.
Ok.
Come next.
Set-off carry forward.
If the loss is of specified business, then from where will
the set-off be?
It will be from the profit of specified business.
It will be set-off.
Is the point clear?
This is it.
It is a simple thing.
This was our topic.
I hope this topic will be clear to you.
I will end the video here.
It will be a little heavy.
Is the point clear?
What is the tax treatment in specified business?
What are the deductions?
Is the point clear?
Thank you very much.