High Court rules in favor of assessee on surtax capital computation

The High Court of Madras ruled in favor of the assessee in a case involving the computation of capital for surtax. The Income-tax Officer's correction of the initial assessment order was not a mistake apparent on the face of the record. The Court held that the correction involved a process of reasoning and was not a clear error. The question referred by the Revenue was answered in favor of the assessee.

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The High Court of Madras ruled in favor of the assessee in a case involving the computation of capital for surtax. The Income-tax Officer's correction of the initial assessment order was not a mistake apparent on the face of the record, as it required interpretation of the relevant rules. The Court held that the correction involved a process of reasoning and was not a clear error. The question referred by the Revenue was answered in favor of the assessee.

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