Discuss the tax aspects on 'slump sale' and 'demerged company'.

Slump Sale: Section 2(42C) of the Income Tax Act, 1961 defines 'slump sale' as a means of transfer of one or more undertakings as a result of the sale for a lump sum consideration without values being assigned to the individual assets and liabilities in such cases. As per section 50B of Income Tax Act, 1961, any profits or gains arising from the slump sale effected in the previous year shall be chargeable to income tax as capital gains from the transfer of long term capital asset and shall be deemed to be the income of the previous year in which the transfer took place. Demerged Company: Demerged company has been defined under section 2(19AA) of the Income Tax Act, 1961. According to section 47(vib), where there is a transfer of any capital asset in case of demerger by the demerged company to the resulting company, such transfer will not be regarded as a transfer for the purpose of capital gain provided the resulting company is an Indian company.