https://www.taxtmi.com/caselaws?id=66717 A banking company's reserve under section 17(1) of the Banking Regulation Act is computed on profits after tax, because the statutory profit balance is determined after necessary provisions, including tax. Reserves created in obedience to binding Reserve Bank directions under section 35A are treated as reserves required under section 17(1) and, on that basis, qualify for exclusion under rule 1(xi)(a) of the First Schedule to the Companies (Profits) Surtax Act. The assessee was therefore entitled to exclude those amounts from chargeable profits, and the contrary revenue view was rejected. en-us Wed, 02 Jun 1976 00:00:00 +0530 Sat, 05 Mar 2011 18:28:23 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=66717 A banking company's reserve under section 17(1) of the Banking Regulation Act is computed on profits after tax, because the statutory profit balance is determined after necessary provisions, including tax. Reserves created in obedience to binding Reserve Bank directions under section 35A are treated as reserves required under section 17(1) and, on that basis, qualify for exclusion under rule 1(xi)(a) of the First Schedule to the Companies (Profits) Surtax Act. The assessee was therefore entitled to exclude those amounts from chargeable profits, and the contrary revenue view was rejected. Case-Laws Income Tax Wed, 02 Jun 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=66717