Court : Supreme Court of India
Reported in : 2007(13)SCALE61; (2008)1SCC206; 2007AIRSCW7012
..... we are in respectful agreement with the view taken in vadilal chemical's case which is more particularly reflected in paras 19 and 20 of that decision where this court observed as under: in this case the state sales tax act contains no provision relating to 'manufacture'. ..... , in exercise of powers conferred by sub-section (3) of section 19 of the pondicherry general sales tax act, 1967 a general exemption is provided from payment of sales tax on the turnover of the sales of goods 'manufactured' by (i) small scale industries which went into production on or after 6th november; and (ii) all industries other than small scale industries which went into production on or after 1st april, 1971, as certified by the director of industries, pondicherry ..... clear opinion that since in the present case the exemption was granted to all small scale industrial units registered with the director of industries and since the assessee was recognized and certified as a small industrial unit, engaged in the activity of re-packing of edible oil and further since the exemption was granted with the open eyes to this particular industry, the state cannot be allowed to run around and take a stance ..... iyer, senior advocate appearing on behalf of the union territory of pondicherry, however, tried to suggest that the exemption from payment of tax granted on 19.5.1989 was granted by the director of industries and it was clear from that exemption that it was only on the basis of the g.o.ms.no.15/74 dated 25.6.1974 .....
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1957SC768; [1957]32ITR466(SC)
..... it has to be remembered that even though this demarcation between agriculture and forestry was available in the lists contained in the seventh schedule to the government of india act, 1935, no such demarcation existed in the devolution rules made under the government of india act, 1919, and in any event the definition of agricultural income with which we are concerned was incorporated in the indian income-tax acts as early as 1886, if not earlier; vide section 5 of the indian income-tax act, 1886 (ii of 1886). ..... even at a time when there was no provision like section 100 of the government of india act, 1935, with federal and provincial lists and there was no incompetency on the part of central legislature to levy a tax on agricultural income, the income-tax acts passed from time to time by the central legislature including the existing act of 1922, exempted from income-tax the agricultural income of lands assessed to public revenue. ..... this exemption, it would be noticed, has been a persistent feature of the income-tax legislation of this country from 1867 onwards, and nothing like it is found in the english income tax acts. ..... probhat chandra baru : 'some reference was made at the bar to the practice of the revenue authorities since 1886 as regards fisheries in permanently settled estates, but there is no agreement as to what that practice - if there be a practice - has been. .....
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1961SC372; [1961]41ITR191(SC); [1961]2SCR241
..... if the income tax officer has made a wrong decision as to the existence of the conditions precedent, the remedy is by way of appeals as provided by income tax act and by stating a case under section 66 of the act.' 53. ..... by section 22 of the income tax act, a duty is imposed upon every taxpayer whose total income exceeds the maximum which is not chargeable to income-tax to make a return in the prescribed form and verified in the prescribed manner, setting forth his total income during that year. ..... ' para 7 :- 'with reference to paragraph 5 of the said petition, i deny that i pretended to act under section 34 of the income tax act as alleged. ..... the company in its petition for the issue of a writ contended by paragraph 7 that the notices were ultra vires and illegal and that the income tax officer was not invested with jurisdiction to proceed thereunder, inter alia, for the reason that the 'pretended notice was issued without the existence of the necessary conditions precedent which confers jurisdiction under section 34 aforementioned, whether before or after amendment in 1948.' 55. ..... we are therefore bound to hold that the conditions precedent to the exercise of jurisdiction under section 34 of the income-tax act did not exist and the income-tax officer had therefore no jurisdiction to issue the impugned notices under section 34 in respect of the years 1942-43, 1943-44 and 1944-45 after the expiry of four years. 26. mr. .....
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1984SC157; (1983)37CTR(SC)280; [1984]145ITR11(SC); 1983(2)SCALE142; (1983)4SCC697; [1984]1SCR480; 1984(16)LC97(SC)
..... assessment year 1964-65 by the assessment order dated november 23, 1964, the rectification order under section 154 of the income tax act for the assessment year 1958-59 was made on may 13, 1966 and the rectification order under the same provision for the assessment year 1960-61 was made on january 1, 1965, and the rectification order under section 35 of the wealth tax act for the assessment year 1961-62 was made on june 10, 1965. ..... regards the quantification of the other income tax and wealth tax liabilities effected after the wealth tax officer had completed the original wealth tax assessmentproceeding, the quantification.of the liabilities related to claim which had already been raised before the wealth tax officer in the course of the original ..... it is true that the rectification orders and the gift tax assessments related to tax liabilities which were not claimed by the assessee in the course of the original assessment proceeding before the wealth tax officer, but as the appellate assistant commissioner permitted the claim to be made during the hearing of the appeal, we see no reason why the assesseeshould be denied ..... for the revenue, urges that the judgment of gujarat high court in kantilal manilal (supra) does not conclude the question arising on this claim because the high court was concerned with a claim to deduction on account of income tax, wealth tax and gift tax liabilities which had arisen before the wealth tax officer had completed the assessment before him. .....
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1972SC2600; [1972]86ITR133(SC); (1973)3SCC35; [1973]1SCR1033
..... on the facts and in the circumstances of the case the amounts of 66,275, 131,180 and 274,587 out of the debentures of the company were allowable as debts owed by the company in the light of section 2(m) read with section 6 of the wealth-tax act ?2. ..... the company shall be exercisable by and be binding on the government in substitution for the company and shall cease to be exercisable by or binding on the company.provided that no contract entered into by the company after the date of this agreement and extending for more than one year beyond the purchase date shall be binding on the government unless it has been previously approved by the government.8. ..... the assessment years with which we are concerned in these appeals are 1957-58, 1958-59 and 1959-60 and the relevant valuation dates are 31st december, 1956, 31st december 1957 and 31st december 1958 ..... shall be deemed to be resident in india during the year ending on the valuation date, if-(a) it is a company formed and registered under the companies act, 1956, or is an existing company within the meaning of that act; or(b) during that year the control and management of its affairs is situated wholly in india.10. ..... a debtor company may for this purpose be resident in any country where it has a branch office.a speciality debt is in general an asset situate where the instrument is ..... regards the debenture loans, he distributed the same on the basis of the assets held by the company in the united kingdom and those held by it in this country. .....
Tag this Judgment!Court : Supreme Court of India
Reported in : (1981)25CTR(SC)406; [1982]133ITR239(SC); (1981)4SCC675; [1981]1SCR947; 1982(14)LC12(SC)
..... section 4 states that the fact that one has subscribed to or otherwise acquired the bonds shall not be taken into account in any proceeding under the income-tax act, 1961, the wealth-tax act, 1957 and the gift-tax act, 1958 and goes on to provide specifically that no one shall be entitled to: (a) any manner of relief under the income-tax act on the ground that he has acquired the bonds; or (b) claim that any asset belonging to him which formed part of his net wealth in any period ..... ' this article provides inter-alia as follows: 123 (1) if at any time, except when both houses of parliament are in session, the president is satisfied that circumstances exist which render it necessary for him to take immediate action, he may promulgate such ordinances as the circumstances appear to him to require. ..... seervai in his famous book on constitutional law, if on a statute like the sales-tax act being declared void, 'no machinery existed whereby a valid law could be promulgated to take the place of the law declared void'. ..... penalties and vigorous steps taken by the tax administration to detect black money and despite various voluntary disclosure schemes introduced by the government from time to time, it had not been possible to unearth black money and the menace of black money had over the years assumed alarming proportions causing havoc to the economy of the country and the legislature was therefore constrained to enact the act with a view to mopping up black money so that instead .....
Tag this Judgment!Court : Supreme Court of India
Reported in : 1996IAD(SC)638; AIR1996SC996; I(1996)BC475(SC); [1996]21ITR159(SC); JT1996(1)SC400; 1996(1)SCALE207; (1996)2SCC536; [1996]1SCR365
order1. these applications are by the respondent (revenue) in the afore noted appeals, which were disposed of by judgment dated may 12, 1994. it has been averred in these petitions that what was held in paras 9 to 15 of the judgment is not consistent with what was decided by the majority in state bank of travancore v. commissioner of income tax : [1986]158itr102(sc) , which view was followed while disposing of the appeals. this stand has been taken because what the majority had held in the aforesaid case was that in cases of 'sticky advances' what could really be done is that on the assessee writing off the advances, the same would become bad debt and could be so dealt by the assessee as permitted by the relevant section of the income tax act. in aforesaid paras, however, it came to be stated that on the advances become bad debts, refund of tax paid on the interest could be claimed by the assessee in accordance with law. it is apparent that the majority in state bank of travancore had not said so. this is not disputed by shri poti who had appeared for the appellants.2. it is accordingly stated that the observation made relating to refund of tax in the aforesaid paragraphs of the judgment would stand deleted. instead, we state on the advances being written off, steps could be taken by the assessee in accordance with the provisions of the income tax act relatable to bad debts.3. the applications are disposed of with these observations.
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1980SC807; 1980(Supp)SCC369; 1980(12)LC8(SC)
..... of cement in accordance with the provisions of the cement control order during the assessment period ist august, 1971 to 31st july, 1972 and in the course of the assessment of the assessee to sales tax under the madhya pradesh general sales tax act, 1958 and central sales tax act, 1956, a question arose whether the amount of freight which was included in the 'free on rail destination railway station' price, but which was paid by the ..... the contention of the assessee throughout was that on a proper construction of the definition of 'sale price' in section 2(o) of the madhya pradesh general sales tax act, 1958 and section 2(h) of the central sales tax act, 1956, the amount of freight did not fall within the definition and was not liable to be included ..... the penalty was imposed under section 43 of the madhya pradesh general sales tax act, 1958 and section 9 sub-section (2) of the central sales tax act, 1956 on the ground that the assessee had furnished false returns by not including the amount of freight in the taxable turnover ..... sales tax act, 1958 is materially in the same terms as section 2(p) of the rajasthan sales tax act, 1954, and this decision must therefore equally apply under the madhya pradesh general sales tax act, 1958 and it must be held that the amount of freight formed part of the sale price within the meaning of the first part of the definition of that term in section 2(o) of the madhya pradesh general sales tax act 1958 and section 2(h) of the central sales tax act, .....
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1986SC338; (1985)49CTR(SC)386; [1986]157ITR86(SC); 1985(2)SCALE908; (1986)1SCC11; [1985]Supp3SCR701; 1986(1)LC557(SC)
..... of the terms and conditions of the two agreements while the answer to the latter depends upon whether a capital asset like the technical know-how acquired in the shape of drawings, designs, charts, plans, processing data and other literature which formed the basis for the business of manufacturing the instruments in question would fall within the wide and inclusive definition of 'plant' given in section 43(3) of the income tax act, 1961.9. ..... was to enable it 10 undertake its trading activity of manufacturing the theodolites and microscopes and there can be no doubt that these documents had a vital function to perform in the manufacture of these instruments; in fact it is with the aid of these complete and upto date sees of documents that the assessee was able to commence its manufacturing activity and these documents really formed the basis of the business of manufacturing the instruments ..... , that the rendering of 'documentation service' was incidental, that no part of the expenditure was on revenue account but the whole of it was of a capital nature bringing into existence an asset of enduring benefit to the assessee, but what was brought into existence was a non-depreciable asset and, therefore, the assessee was not entitled to any relief in the case. ..... counsel further urged that the high court erroneously concluded that what was brought into existence was a non-depreciable asset, inasmuch as the acquisition of a capital asset like the technical know-how in the shape of drawings .....
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1987SC2140; [1987]166ITR180(SC); 1987(1)SCALE563; (1987)2SCC458; [1987]2SCR601; 1987(1)LC721(SC)
..... , be equal to such percentage of that excess as may be fixed by the annual finance act; provided that any profits which are, under the provisions of sub-section (3) of section 4 of the indian income-tax act, 1922, exempt from income-tax, and all profits from any business of life insurance shall be totally exempt from excess profits tax under this act.provided further that in the case of any business which includes the mining of any mineral, any bonus paid by or through the central ..... i am unable to accept the contention of the commissioner that the excess profits tax act is an entirely independent legislation, which is connected with the income-tax. ..... the high court, therefore, did not accept the opinion of the tribunal that because the chargeable accounting periods ending 31st march, 1941 and 31st march, 1943 were occupied with manufacturing activity alone and there were no sales, therefore, no part of the profits realised upon the sales could be apportioned to those chargeable accounting periods and consequently that it could not be said that there was ..... it is not necessary in view of the controversy before us to refer to other definitions except that section 2(3) deals with 'average amount of capital' which is relevant for computation of the excess profits. ..... the 'standard profits' is defined under section 2(2) which was required to be computed in accordance with the provisions of section 6 of the act. .....
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