Computation of company capital clarified: specific reserves included and certain balance-sheet items excluded for surtax capital calculation. Instruction defines company capital for surtax as the aggregate on the first day of the relevant previous year of specified reserves including development rebate reserve and other reserves reduced by amounts already allowed as deductions; the Explanation excludes certain balance-sheet entries under 'Reserves and Surplus' and 'Current Liabilities and Provision' in Schedule VI from being treated as reserves for capital computation.
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Computation of company capital clarified: specific reserves included and certain balance-sheet items excluded for surtax capital calculation.
Instruction defines company capital for surtax as the aggregate on the first day of the relevant previous year of specified reserves including development rebate reserve and other reserves reduced by amounts already allowed as deductions; the Explanation excludes certain balance-sheet entries under "Reserves and Surplus" and "Current Liabilities and Provision" in Schedule VI from being treated as reserves for capital computation.
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