MAT not payable on Capital receipts on forfeiture of share warrants

Brief of the Case ITAT Kolkata held in the case of DCIT vs. M/s. Binani Industries Ltd. that it is not in dispute that the receipt representing forfeiture of share warrants is only a capital receipt & not chargeable to tax.  However, the same has been duly credited in the profit and loss account as an extraordinary item. A capital receipt which is not chargeable to tax under any provisions of the Act would not be liable for book profits tax u/s 115JB. Further the assessee also has duly disclosed the fact of forfeiture of share warrants amounting to Rs. 12,65,75,000/- in its notes on accou...