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The Indian Overseas Bank Ltd vs The Commissioner Of Income-Tax, Madras on 23 April, 1970

Once that profit and loss account is made up, it is no longer open to transfer any amount to the development rebate and in the passage which we have set out above, the Supreme Court has pointed out in Indian Overseas Bank Ltd.'s case that the amount to be transferred to that account is to be a debited before the profit and loss account is made up. With respect, therefore, we are unable to agree with the learned judges of the Allahabad High Court when they hold that the statute does not specify any period of time within which the relevant entries should be made regarding debiting the profit and loss account with the amount of the development rebate and crediting the said amount to a separate development rebate reserve account.
Supreme Court of India Cites 6 - Cited by 128 - K S Hegde - Full Document

Surat Textile Mills Ltd. vs Commissioner Of Income-Tax, Gujarat Ii on 13 October, 1970

The requirements of section 34(3) are stringent and as pointed out earlier in Surat Textile Mills Ltd.'s case the Supreme Court while interpreting the provisions similar to section 34(3) of the Act of 1922, has taken the strict view as against the more liberal view of the Rajasthan and Andhra Pradesh High Courts. Since that strict view has to be taken, it must be held that the conditions for allowing the development rebate were not fulfilled in the case of the present assessee-firm. The Tribunal was, therefore, right in law in holding that those conditions were not fulfilled in the instant case.
Gujarat High Court Cites 17 - Cited by 24 - P N Bhagwati - Full Document
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