COMMISSIONER OF INCOME-TAX BOMBAY CITY & SUBURBAN DISTRIC vs HUKAMCHAND MILLS LTD. INDORE

The Supreme Court held that income accrued within British India from sales made by a company incorporated in the erstwhile State of Indore is assessable to Indian Income-tax under the Income-tax Act. The Court found that the property in goods passed in British India despite being sold F.O.R. Indore, thus overturning the High Court's decision. The appeal was allowed, confirming the applicability of Indian Income-tax on the profits attributable to sales in British India, following the precedent set in Pushanlal Mansingka (P) Ltd. v. The Commissioner of Income Tax, Delhi.