https://www.taxtmi.com/caselaws?id=181193 Monthly remuneration credited to a managing director under a contract of service is salary assessable under section 7 because the director remained subject to the board's superintendence, direction and control. The salary accrued from month to month when the books recorded the monthly credits, and a later board resolution passed after the accounting period could not extinguish the contractual right to that accrued remuneration. The doctrine of real income and commercial expediency, which may be relevant to business income, was treated as inapplicable to salary taxable on accrual. A post-accrual waiver or denial therefore did not affect the taxability of income already earned. en-us Wed, 24 Nov 1965 00:00:00 +0530 Sat, 09 Apr 2016 10:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=181193 Monthly remuneration credited to a managing director under a contract of service is salary assessable under section 7 because the director remained subject to the board's superintendence, direction and control. The salary accrued from month to month when the books recorded the monthly credits, and a later board resolution passed after the accounting period could not extinguish the contractual right to that accrued remuneration. The doctrine of real income and commercial expediency, which may be relevant to business income, was treated as inapplicable to salary taxable on accrual. A post-accrual waiver or denial therefore did not affect the taxability of income already earned. Case-Laws Income Tax Wed, 24 Nov 1965 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=181193