Commissioner Of Income Tax, Gujarat-I vs Navnit Lal Sakar Lal Etc

The Supreme Court addressed the inclusion of Rs. 26,221 in the income of Managing Directors of Sarangpur Mills under the Income Tax Act for the assessment years 1973-74 and 1974-75. The Court held that the amount paid for the Deferred Annuity Policy was not part of the remuneration as per the agreements, thus not chargeable under the head Salaries. The Income-tax Appellate Tribunal's conclusion was upheld, affirming that the payment did not constitute remuneration for the relevant assessment year.