Supreme Court of India · 1967-10-20
STRAW PRODUCTS LTD. vs INCOME-TAX OFFICER, BHOPAL & ORS.
- Citation / case number
- SC 1967/104
- Court
- Supreme Court of India
- Petitioner
- STRAW PRODUCTS LTD.
- Respondent
- INCOME-TAX OFFICER, BHOPAL & ORS.
- Bench
- WANCHOO, K.N. (CJ),HIDAYATULLAH, M.,SHAH, J.C.,BACHAWAT, R.S. & RAMASWAMI, V.,MITTER, G.K. & HEGDE, K.S.
Judgment text excerpt
The Supreme Court upheld the validity of the 'Taxation Laws (Merged States) (Removal of Difficulties) Amendment Order, 1962', which allowed for the computation of depreciation for companies exempted from tax in merged states. The Court clarified that under Section 10(2)(vi)(c) and Section 10(5)(b) of the Indian Income-tax Act, 1922, the deemed depreciation must be considered for assessing taxable income. The appellant's challenge to the Income-tax Officer's reassessment was dismissed, affirming the application of the 1962 Order in the context of merged states.