https://www.taxtmi.com/caselaws?id=238254 The High Court dismissed the Revenue's appeal in a case involving the interpretation of Section 2(22)(e) of the Income Tax Act, 1961. The court ruled that loans or advances to a non-shareholder cannot be treated as deemed dividends under the provision, emphasizing the necessity to align tax laws with legislative intent to prevent tax evasion. The judgment clarified that transactions for business purposes do not fall within the deeming dividend provision and highlighted the Revenue's authority to tax such income to prevent income escapement. en-us Fri, 04 Oct 2013 00:00:00 +0530 Fri, 18 Oct 2013 21:31:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=238254 The High Court dismissed the Revenue's appeal in a case involving the interpretation of Section 2(22)(e) of the Income Tax Act, 1961. The court ruled that loans or advances to a non-shareholder cannot be treated as deemed dividends under the provision, emphasizing the necessity to align tax laws with legislative intent to prevent tax evasion. The judgment clarified that transactions for business purposes do not fall within the deeming dividend provision and highlighted the Revenue's authority to tax such income to prevent income escapement. Case-Laws Income Tax Fri, 04 Oct 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=238254