MESSRS. R. C. MITTER & SONS vs THE COMMISSIONER OF INCOME-TAX,WEST BENGAL, CALCUTTA

The Supreme Court interpreted Section 26A of the Indian Income-tax Act, 1922, determining that the phrase 'constituted under an instrument of partnership' includes firms that were created by verbal agreements but later formalized in writing. The Court held that the requirement for registration under Section 26A does not necessitate the existence of a written instrument during the relevant accounting year, thus allowing for registration even if the formal deed was executed after the firm's creation. The appeals were dismissed in favor of the Revenue, affirming the High Court's decision.