Income Tax Appellate Tribunal Itat Cochin Court June 1993 Judgments Home Cases Income Tax Appellate Tribunal Itat Cochin 1993 Page 1 of about 1 results (0.021 seconds)

income Tax Officer Vs. V. S. V. Trust.

Court : Income Tax Appellate Tribunal ITAT Cochin

Reported in : (1993)47TTJ(Coch.)304

These appeals are by the Revenue relating to the asst. yr. 1985-86 for which the relevant accounting period ended on 16th Aug., 1984."The learned CIT(A) erred in holding that the maximum marginal rate to be applied is Rs. 35,250 plus 55% of the amount by which the total income exceeds Rs. 1 lakh plus surcharge @ 12.5% of such income-tax. He failed to note that the Expln. 2 to S. 164 clearly states that the rate means the rate applicable to the highest slab and hence for asst. yr.1985-86 the rate to be applied is the flat rate of 55%." 3. The assessee is a private trust engaged in the textile business. The assessee is assessed to income-tax under S. 161(1A) of the IT Act, 1961. While completing the assessment, the Assessing Officer charged the tax at the maximum marginal rate of tax. While so doing, he charged the tax @ 55% on the income of the assessee because it represented the highest rate of tax prescribed in the Finance Act, 1985.4. Being aggrieved, the assessee took up the matter...