Commissioner Of Income-Tax vs Rajaram Maize Products

The Supreme Court granted leave in the special leave petition and addressed whether the power subsidy received by the assessee was a capital receipt under Section 28(iv) of the Income-tax Act, 1961. The Court held that the power subsidy is of a revenue nature and thus taxable, aligning with the precedent set in Sahney Steel and Press Works Ltd. v. CIT [1997] 228 ITR 253. Consequently, the appeals were allowed, and the previous orders were set aside, ruling in favor of the Revenue.