COMMISSIONER OF INCOME TAX, WEST BENGAL, CALCUTTA vs M/S. HANTAPARA TEA CO., LTD., CALCUTTA

The Supreme Court held that the market value of agricultural produce grown in a tea estate and utilized by the assessee must be considered in the computation of allowable expenditure under the Indian Income-tax Act, 1922. The Court affirmed the decision in Dooars Tea Co. Ltd. v. Commissioner of Agricultural Income-tax, West Bengal, establishing that such income should be accounted for in determining total income. The appeal by the Revenue was dismissed, upholding the High Court's ruling in favor of the assessee.