2016 Amendment to Section 50C of Income Tax Act Applies Retrospectively: Madras HC

CIT Vs Vummudi Amarendran (Madras High Court) In the case CIT vs. Vummudi Amarendran, the Madras High Court addressed the issue of whether the amendment to Section 50C of the Income Tax Act, 1961, introduced in 2016, should be applied retrospectively or prospectively. The Court ultimately ruled that the amendment, which was intended to mitigate undue hardship to taxpayers, has retrospective effect, even though the language of the amendment suggests it applies only from Assessment Year (AY) 2017-18 onwards. The assessee, Vummudi Amarendran, had entered into an agreement to sell land in Neelanka...