COMMISSIONER OF EXCESS PROFIT TAX, KANPUR vs KALYAN MAL PHOOL CHAND, NAGAR GANJ, KANPUR

The Supreme Court examined the provisions of the Excess Profit Tax Act, 1940, specifically Sections 2, 5-7, regarding the determination of 'chargeable accounting period' and 'standard profits'. The Court held that the deficiency in profits from previous periods could be set off against profits in the chargeable accounting period if the business operations were continuous and not distinct. The ruling confirmed the Appellate Assistant Commissioner's decision to allow set off for the deficiency of profits for the relevant periods, establishing that the same business was carried on throughout.