Tax on undistributed profits may be imposed where dividend distribution falls below statutory requirement, subject to specified exceptions. Section 104 imposed an additional income-tax on undistributed profits where a company's dividend distribution fell below a statutory proportion of distributable income, taxing the undistributed portion after deducting dividends actually paid. The assessing officer could order such tax, but not where non-distribution was reasonable due to losses or small profits, where distribution would not benefit revenue, or where most share capital was held by charitable institutions; the Central Government could exempt classes of companies, and specified industry and foreign-company carve-outs were provided.