Tax On Sales-tax Subsidy – SC asks HC to decide whether sales-tax subsidy is a capital receipt

CIT Vs Reliance Industries Ltd (Supreme Court)– Having heard learned counsel on both sides, we are of the view that the High Court ought not to have dismissed the appeal without considering the following questions, which, according to us, did arise for consideration. They are formulated as under: “(A) Whether on the facts and in the circumstances of the case and in law the Honourable Tribunal was right in holding that estimated expenditure for earning dividend income cannot be subject to dis allowance while computing book profits as well as under the normal provisions of the Income...