THE MAHARASHTRA STATE ELECTRICITY BOARD. vs MAHARASHTRA VEEJ MANDAL KAMGAR SANGH & ANR.

The Supreme Court upheld the Bombay High Court's decision to remand the case to the Industrial Tribunal for recomputing the allocable surplus under the Payment of Bonus Act, 1965, specifically referencing Section 8 and Section 10 of the Act. The Court found that the Tribunal had incorrectly determined that no allocable surplus existed for the years 1965-66 to 1969-70, which affected the workmen's entitlement to a bonus exceeding the statutory minimum of 4%. The Court emphasized the need for a proper assessment of deductible items from gross profits, particularly concerning development rebates and interest on loans.