Judgment Search Results Home > Cases Phrase: companies profits surtax act 1964 Court: income tax appellate tribunal itat madras Page 1 of about 49 results (0.094 seconds)

Kalasa Tea and Produce Co. Ltd. Vs. Inspecting Assistant

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (1994)50ITD170(Mad.)

..... its part, the companies (profits) surtax act, 1964, levies an additional tax on the total income of a company in the manner stipulated by the act. ..... , at the outset, consider the general scheme of the companies (profits) surtax act, 1964. ..... the first schedule of the companies (profits) surtax act (which contains the rules for computing the chargeable profits of the company), excluding certain items of incomes from the total income of the company as determined for income-tax ..... for the purposes of computing the capital base under the companies (profits) surtax act, the assessee took into account the said sum of ..... advanced, unsuccessfully, before the assessing officer, the assessee also advanced before the cit(a) an alternative contention, namely, that if the reserve in question was not eligible to be included in the capital base of the company, then under rule 2(ii) of the second schedule of the companies (profits) surtax act, the reserve in question must be deducted from the cost of investment the income from which is excluded from the chargeable profits of the assessee.5. ..... now notice rather closely the scheme of the second schedule of the companies (profits) surtax act, insofar as it relates to the issue on hand. ..... rule 1.even so, in its character as a fund, it will be available under rule 2 for set off against the cost to the assessee of the assets which yield income which are excluded from the chargeable profits under rule 1 of the first schedule to the companies (profits) surtax act.37. .....

Elgi Equipments Ltd. Vs. Dy. Commissioner of Income-tax

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (1992)41ITD518(Mad.)

..... while computing the capital base under the second schedule to the companies profits (surtax) act, 1964, the assessing officer did not make any adjustment in respect of the excess depreciation allowed in the income-tax assessments over the depreciation actually booked.4 ..... its part, the companies (profits) surtax act, 1964, levies an additional tax on the total income of a company in the manner stipulated by the act. ..... may, at the outset, notice briefly the scheme of the companies (profits) surtax act, 1964. ..... firstly, the companies (profits) surtax act does not contain any definition of the term 'reserve ..... the powers vested in him by and under section 16 of the surtax act, 1964, the commissioner of income-tax, coimbatore, called for and examined the assessment records of the assessee relating to the surtax assessment for the assessment years 1982-83 and 1983-84. ..... thus, besides having the provision of sections 210 and 211 of the companies act, we have rule 1a of the second schedule to the surtax act which brings the axe down on cases where no provision is at all made towards dividends or where there is a shortfall in the provisions made for ..... the assessee were to have its way, namely that the excess depreciation allowed should go to reduce the provision for taxation, then the assessee would be not only transgressing the statutory obligations cast on it by the companies act but also will get caught, in the process, within the mischief of rule 1a of the second schedule to the surtax act. .....

indra Cotton Mills (P.) Ltd. Vs. Inspecting Assistant

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (1992)42ITD27(Mad.)

..... thereafter, the assessee submitted a petition under section 13 of the companies (profits) surtax act, 1964, contending that the capital employed as on 1-7-1979 should be increased by a sum of rs. ..... on its part, the companies (profits) surtax act, 1964, levies an additional tax on the total income of a company in the manner stipulated by the act. ..... we may, at the outset, notice briefly the scheme of the companies (profits) surtax act, 1964. ..... reserves, on the contrary, afford large scope for manoeuvring for more than one reason.firstly, the companies (profits) surtax act does not contain any definition of the term 'reserve'. ..... (supra) the supreme court held that the meanings assigned in the companies act, 1956 to "pro vision" and "reserve" must be taken for purposes of interpreting the surtax act, and laid down the following principles: provision is a retention or appropriation of a sum designed to meet depreciation, renewals or diminution in value of assets, or any known liability. ..... (5), (6) and (7) under the heading "reserves and surplus" in part-i - "form of balance sheet" of schedule vi of the companies act, 1956, shall not be regarded as reserves for purposes of computation of capital of the company under the provisions of the second schedule to the surtax act.19. .....

South India Shipping Corpn. Ltd. Vs. Deputy Commissioner of

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (1994)50ITD91(Mad.)

..... . it should, therefore, follow that the provisions of rule 4 of the second schedule to the companies (profits) surtax act, 1964 cannot be called to aid for making the impugned adjustment.in this connection, it may be highlighted that it was on the basis of the aforesaid considerations that, ..... 1(iii) of the second schedule to the companies (profits) surtax act, 1964 does not apply to the facts of the ..... companies (profits) surtax act, 1964 levies additional tax on the total income of a company in the manner stipulated by the ..... supreme court has held that deductions allowed under chapter vi-a of the act cannot be the subject-matter of adjustments contemplated by rule 4 of the second schedule to the companies (profits) surtax act, 1964.18 ..... to see how simply because the assessee transferred the amount standing to the credit of the development rebate reserve to general reserve through the medium of profit & loss appropriation account, the sum in question will shed its character of a reserve.thirdly, the companies (profits) surtax act does not contain any specific provision warranting an adjustment of the type the assessing officer has chosen to make.fourthly, the assessing officer clearly misdirected herself ..... rebate reserve intact even after the expiry of the stipulated period, then by virtue of rule 1(ii) of the second schedule to the companies (profits) surtax act the amount standing to the credit of the reserve would have formed part of the capital base for the purposes of surtax. .....

Stanes Amalgamated Estates Ltd. Vs. Deputy Commissioner of

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (2003)85ITD203(Mad.)

..... equal to the depreciation computed in accordance with the provisions of sub-section (1) of section 32 from the amounts of profits computed in accordance with the requirements of parts ii and iii of schedule vi to the companies act, 1956 (1 of 1956) as increased by the aggregate of- (ii) the amount of income-tax paid or payable and provision therefor; (iii) the amount of surtax paid or payable under the companies (profits) surtax act, 1964 (7 of 1964); (v) the amount or amounts set aside to provisions made for meeting liabilities, other than ascertained liabilities; (vi) the ..... amount by way of provision for losses of subsidiary companies; and if any debited to the profit and loss account; and as reduced by any amount or amounts withdrawn from reserves or provisions, if such amounts are credited .....

Mcdowell and Co. Ltd. Vs. Inspecting Assistant

Court : Income Tax Appellate Tribunal ITAT Madras

..... the ao charged interest under section 7(c) of the companies (profits) surtax act, 1964, among other things, in a sum of ..... companies (profits) surtax act, 1964, corresponds to section 215 of the it act ..... authorities below are justified in levying interest under section 7(c) of the companies (profits) surtax act, 1964. ..... pertaining to the assessment for the year 1982-83, is against levy of interest under section 7(c) of the companies (profits) surtax act, 1964.2. ..... that the provisions of section 7(c) of the companies (profits) surtax act (hereinafter referred to as the act) were not attracted. ..... on 12-6-1981, the assessee filed an estimate of advance tax under section 7a of the surtax act computing the chargeable profits at nil in a letter enclosed to the said estimate, it was stated as follows : "we have submitted an application to the specified authority under section 72a of the income-tax act regarding our proposed scheme of amalgamation with hindustan polymers limited and, as the application has been approved by the central government under the provisions of section 23(2) ..... to the high court of judicature at madras for sanctioning the scheme of amalgamation with hindustan polymers limited pursuant to section 394 of the companies act, 1956, and hindustan polymers limited have made a similar application to the high court of judicature at bombay. ..... a return showing 'nil' chargeable profits there was no question of paying advance surtax under section 7a of the act as it is based on its own .....

Durametallic (India) Ltd. Vs. Assistant Commissioner of Income

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (2003)81TTJ(Mad.)507

..... the assessee is concerned with the interpretation of rule 2(ii) of the first schedule to the companies (profits) surtax act, 1964, which makes the following reading ; "in the case of a company which has been charged to tax in a company outside india on any portion of its income, profits and gains included in its total income as computed under the it act, the tax actually paid in respect of such income, profits and gains in the said country in accordance with the laws in force in that ..... note that surtax under the companies (profits) surtax act, 1964 can be computed only after determining the income-tax payable under the provisions of the it act. ..... from rule 2(a) of the first schedule to the surtax act, that the chargeable profit is computed after giving reduction for the amount of income-tax payable by the company in respect of its total income. ..... that means in computing the chargeable profits under the surtax act, from the profits and gains of the previous year, not only the amount of income-tax payable in india is allowed as deduction [as per rule 2(i)] but also the amount of income-tax actually paid in the foreign country ..... in rule 2(ii) it is provided that in the case of a company which has been charged to tax in a country outside india on any portion of its income, profits and gains included in its total income as computed under the it act, the tax actually paid in respect of such income, profits and gains in the said country after allowance of every relief due under the said laws .....

Karur Vysya Bank Ltd. Vs. Inspecting Assistant

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (1992)42ITD84(Mad.)

..... in the assessee's case, surtax under the companies (profits) surtax act, 1964, was also exigible. ..... these appeals by the assessee are directed against the common order passed by the commissioner of income-tax, madurai, on 17-3-1988 under section 16(1) of the companies (profits) surtax act, 1964.2. ..... the first schedule of the surtax act opens with the following words: in computing the chargeable profits of a previous year, the total income computed for that year under the income-tax act shall be adjusted as follows from the above, it would be clear that the base for computing the 'chargeable profits' under the surtax act is the total income computed following the rules and regulations under the income-tax act. ..... for the purpose of computing the chargeable profits under the surtax act, the assessing officer adopted as the starting point the total income of the assessee as determined under the income-tax act for the said three assessment years. ..... section 2(5) of the surtax act defines 'chargeable profits' as meaning the total income of an assessee computed under the income-tax act, 1961, for a previous year and adjusted in accordance with the provisions of the first schedule. ..... a harmonious construction of these provisions reveals that interest-tax payable by a bank, even though deducted from the total income by virtue of section 18 of the interest-tax act, cannot be allowed as a deduction from total income for the purpose of computing the 'chargeable profits' under the surtax act. .....

Smt. G. Krishnammal Vs. Deputy Commissioner of

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (1998)66ITD83(Mad.)

..... between the assessee and iisco, the amounts received were actually in the nature of royalty and fees covered by the exemption provided in rule 1(ix) and rule 1(x) of the first schedule to the companies (profits) surtax act, 1964, and were liable to be excluded from the total income of the assessee in computing the chargeable profits for the assessment years 1965-66 to 1969-70. ..... that case it was found that the profits of one year was likely to be shifted to another year which would be an incorrect method of computing profits.each year being a self-contained unit, and the taxes of a particular year being payable with reference to the income of that year, as computed in terms of the act, the method adopted by the assessee-company was found to be such that income could ..... ble supreme court, the decision of the high court was reversed and it was held that a new company was created wholly-owned by the principal company, with no assets of its own except those transferred to it by the principal company, with no business or income of its own except receiving dividends from shares transferred to it by the principal company and serving no purpose whatsoever except to reduce the gross profits of the principal company. ..... the dividend income was not transferred to the assessee-company and it did not find a place in its profit and loss account with the result that the available surplus for payment of bonus to workmen got reduced, and bonus was paid at the rate of 4 per cent only for 1969 instead .....

Francis Joseph Vs. Income-tax Officer

Court : Income Tax Appellate Tribunal ITAT Madras

Reported in : (1998)64ITD456(Mad.)

..... as commission in the agreement between the assessee and iisco, the amounts received were actually in the nature of royalty and fees covered by the exemption provided in rule 1(ix) and rule 1(x) of the first schedule to the companies (profits) surtax act, 1964, and were liable to be excluded from the total income of the assessee in computing the chargeable profits for the assessment years 1965-66 to 1969-70. ..... their lordships pointed out that the nomenclature given by the parties in an agreement, which is not defined in the act, would not been conclusive while interpreting the document.therefore, in the aforesaid case, the hon'ble calcutta high court confirmed the finding of the tribunal that amounts described as commission in the agreement ..... have looked at the case of the assessee from another angle also.the assessee has debited the entire cost of production of the film 'gentleman' to the profit and loss account but only a sum of rs. ..... the assessee is carrying on business of film production and entire cost of production of the film 'gentleman' is debited to his profit and loss account, then there is no justification for not showing the value of closing stock of the said film in the profit and loss account. ..... the law dictionary by mozley & whiteley's which had been relied upon by the departmental representative, where 'royalty' had been described as a pro rata payment to a grantor or lessor on the working of the property leased or otherwise on the profits of the grant or lease. .....