Minimum Import Price restrictions for Black Pepper, Areca-nuts and Apples upheld; procedural laying failure not fatal, notifications to be placed befo...
Transaction value between related persons requires market-equivalent pricing; importer must prove declared value mirrors ordinary international trade ...
Classification of exported insecticides under export tariff affirmed; reclassification and related penalties set aside and MEIS scrip jurisdiction rec...
Misclassification between copra and dry coconut: customs recovery and re-valuation quashed for lack of prior licensing-authority invalidation, appeals...
Assessment of whether provisions for gratuity and leave encashment qualify as application of income under the trust exemption. The Tribunal held such provisions are mandated by law, represent accrued and crystallized liabilities as on the balance sheet date, and are required for a true and fair view; it drew an analogy with depreciation as a book entry reflecting correct profits. The expression "applied" must be read commercially to include necessary statutory provisions incurred in furtherance of trust objects. Consequently the Assessing Officer was directed to allow these provisions as application of income and revenue grounds were dismissed.
Assessment of whether provisions for gratuity and leave encashment qualify as application of income under the trust exemption. The Tribunal held such provisions are mandated by law, represent accrued and crystallized liabilities as on the balance sheet date, and are required for a true and fair view; it drew an analogy with depreciation as a book entry reflecting correct profits. The expression "applied" must be read commercially to include necessary statutory provisions incurred in furtherance of trust objects. Consequently the Assessing Officer was directed to allow these provisions as application of income and revenue grounds were dismissed.
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