M.S.P. NADAR SONS, VIRUDHU NAGAR vs COMMISSIONER OF INCOME TAX (CENTRAL), MADRAS

The Supreme Court held that under the Income Tax Act, specifically Sections 70(2)(ii) and 80T, capital gains must be computed collectively for similar types of assets rather than separately for each asset. The Court dismissed the appellant's argument that deductions under Section 80T should be applied before setting off losses, affirming that deductions apply to the net capital gains after losses are accounted for. The High Court's ruling in favor of the Revenue was upheld, confirming the method of computation used by the Income Tax Officer.