https://www.taxtmi.com/caselaws?id=65063 The court held that a limited company could be considered an "author of the trust" under Section 13(3) of the Income-tax Act. Purchasing shares was deemed an investment under Section 13(2)(h), distinguishing between loans and investments. Dividends received were taxable under Section 13(4) as they fell under the prohibitory category of Section 13(3). Capital gains related to companies under the prohibitory category were not eligible for exemption under Section 11(1A). Depreciation and amounts written off were not considered as application of income. The court rejected the assessee's appeal and directed the assessing officer to compute assessable income accordingly. en-us Fri, 09 Jan 1987 00:00:00 +0530 Sat, 12 Feb 2011 11:07:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=65063 The court held that a limited company could be considered an "author of the trust" under Section 13(3) of the Income-tax Act. Purchasing shares was deemed an investment under Section 13(2)(h), distinguishing between loans and investments. Dividends received were taxable under Section 13(4) as they fell under the prohibitory category of Section 13(3). Capital gains related to companies under the prohibitory category were not eligible for exemption under Section 11(1A). Depreciation and amounts written off were not considered as application of income. The court rejected the assessee's appeal and directed the assessing officer to compute assessable income accordingly. Case-Laws Income Tax Fri, 09 Jan 1987 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=65063