THE COMMISSIONER OF INCOME-TAX, BOMBAY SOUTH, BOMBAY vs MESSRS OGALE GLASS WORKS LTD., OGALE WADI.

The Supreme Court held that under Section 4(1)(a) of the Indian Income-tax Act, a non-resident company is liable for income tax based on income received within British India. The Court determined that the posting of cheques by the Government of India constituted payment in British India, as the post-office acted as the agent of the assessee upon the latter's request. The ruling clarified that the addressee's request makes the post-office their agent, thus affirming the income was received in British India as per the statutory provisions.