| Case ID |
0a490e2c-76e3-4d16-a3f8-f0c3a9836d8e |
| Body |
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| Case Number |
IT REFERRANCE No. 36 OF 1957 |
| Decision Date |
Mar 11, 1958 |
| Hearing Date |
|
| Decision |
The court ruled that the repayment of excess profits tax to the assessee should be treated as income for the purposes of the Indian Income-tax Act, 1922. The case involved a dispute over whether the repayment constituted business income, which would have entitled the assessee to relief under section 25(4) due to the discontinuation of the business. The court found that while the repayment was indeed income, it did not qualify as business income under the relevant provisions of the law. The ruling clarified the distinction between statutory income and business income, ultimately siding with the Commissioner of Income Tax and denying the relief sought by the assessee. |
| Summary |
The case IT REFERRANCE No. 36 OF 1957, decided by the Bombay High Court, involved key legal principles surrounding income tax and excess profits tax repayment. The judgment centered on the interpretation of various sections of the Indian Income-tax Act, 1922, and the Indian Finance Act of 1942. The court examined whether a repayment of excess profits tax should be classified as business income, which would invoke section 25(4) for tax relief. The judges highlighted the importance of statutory provisions in determining the nature of the income, ultimately ruling against the assessee. This case is significant for tax law, emphasizing the need for clarity in legislative language and its implications for taxpayers. |
| Court |
Bombay High Court
|
| Entities Involved |
Not available
|
| Judges |
Chagla, C.J.,
S.T. Desai, J.
|
| Lawyers |
Not available
|
| Petitioners |
Donald Miranda
|
| Respondents |
Commissioner of Income Tax
|
| Citations |
1959 SLD 225,
(1959) 35 ITR 103
|
| Other Citations |
Not available
|
| Laws Involved |
Indian Income-tax Act, 1922,
Indian Finance Act, 1942,
Excess Profits Tax Ordinance, 1943,
Finance Act of 1946
|
| Sections |
10,
11(11),
12,
25(4),
10,
11(11)
|