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Judgment Search Results Home > Cases Phrase: comparative chart of corresponding sections of 1983 act Court: kolkata Year: 1971

Dec 08 1971 (HC)

Commissioner of Income-tax Vs. Turner Morrison and Co. Private Ltd.

Court : Kolkata

Decided on : Dec-08-1971

Reported in : [1974]93ITR385(Cal)

..... v. walchand and co. (p.) ltd., : [1967]65itr381(sc) where the supreme court has stated at page 385 :' the rule that increased remuneration can only be justified if there be corresponding increase in the profits of the employer is, in our judgment, erroneous.'11. he has also added that a subjective standard of reasonableness should not be applied by taxing authorities ..... demand for increased remuneration.8. the appellate assistant commissioner in dismissing the assessee's appeal has supported the conclusion of the income-tax officer but also added another fact that, compared to 1947, the profits of the assessee-company declined to some extent during the relevant accounting years. the tribunal after considering the arguments of the parties set aside the orders ..... ,0005,30,0001953-544,40,0009,24,5004,84,5003. the income-tax officer by the assessment order rejected the said increased remuneration as an allowable deduction under section 10(2xxv) of the act, and held that the total remuneration paid to the directors under 1947 agreement, i.e., rs. 4,40,000, was adequate and that the additional remuneration of rs ..... years 1952-53 and 1953-54, the income-tax officer noticed a rise in the remuneration paid to the directors in comparison with such remuneration paid in earlier years. the comparative position of the remuneration paid to the directors was as follows :assessment yearremuneration payable in 1947remuneration paid in the assessment yearsamount of increase,40,0009 .....

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