Section 87A Rebate not Allowed on LTCG under section 112: Bangalore ITAT

Shevgoor Namratha Kamath Vs ITO (ITAT Bangalore) Bangalore ITAT : Rebate U/s 87A Allowed on LTCG U/s 112 – CPC Cannot Deny Relief Merely Because Income is Taxed at Special Rate In a significant ruling for AY 2024-25, the Bangalore ITAT held that rebate under section 87A cannot be denied merely because part of the assessee’s income consists of long-term capital gains taxable u/s 112. The assessee had opted for the new tax regime u/s 115BAC(1A), declared total income below ₹7 lakh, and claimed rebate of ₹25,000/-. CPC denied the rebate on the ground that income taxable at special rat...