Supreme Court of India · 1962-01-16
P. V. RAGHAVA REDDI AND ANOTHER vs COMMISSIONER OF INCOME-TAX
- Citation / case number
- SC 1960/149
- Court
- Supreme Court of India
- Petitioner
- P. V. RAGHAVA REDDI AND ANOTHER
- Respondent
- COMMISSIONER OF INCOME-TAX
- Author
- SINHA, BHUVNESHWAR P.(),KAPURL.,HIDAYATULLAH, M.,SHAHC.,MUDHOLKARR.
- Bench
- SINHA, BHUVNESHWAR P.(CJ),KAPUR, J.L.,HIDAYATULLAH, M.,SHAH, J.C.,MUDHOLKAR, J.R.
Judgment text excerpt
The Supreme Court held that the appellant firm acted as a 'statutory agent' for the non-resident Japanese company under Section 43 of the Indian Income Tax Act, 1922. The Court determined that the income was received in the taxable territory as per Section 4(1)(a) because the amount was credited in the books of the appellant in the name of the Japanese company. The Court clarified that clauses (a) and (c) of Section 4(1) can be interpreted disjunctively, meaning income need not accrue in the taxable territory to be chargeable.