Cadell Weaving Mill Co. P. Ltd. vs Commissioner Of Income-Tax on 6 February, 2001
In the case of CIT v. J.V. Kolte [1999] 235 ITR 239 (Bom), the Division Bench of this court laid down that in construing fiscal statutes and in determining the liability of a subject to tax, one must have regard to the strict letter of the law. That, the onus was on the Revenue to satisfy the court that, the case falls within the provisions of the law. That, if the case is not covered within the four corners of the provisions of the taxing statute, no tax can be imposed by inference or by analogy. That, if a section in a taxing statute is of doubtful and ambiguous meaning, it is not possible to extract out of that ambiguity a new obligation not formerly cast upon the taxpayer. The observations of the above judgment applies to the facts of the present case.