https://www.taxtmi.com/caselaws?id=186461 A lease payment securing an exclusive right to excavate shells for a fixed term was treated as capital expenditure because it formed part of the initial outlay to set up the business, and the fact that part of it was described as an annual lease amount did not change its character. Section 44 was construed as a machinery provision enabling recovery of tax on the profits of a discontinued firm, and "tax payable" was held to include tax due whether already quantified or to be determined later. The partners of the discontinued firm could therefore be assessed jointly and severally for tax on pre-discontinuance profits. en-us Fri, 04 Dec 1936 00:00:00 +0530 Mon, 19 Sep 2016 17:10:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=186461 A lease payment securing an exclusive right to excavate shells for a fixed term was treated as capital expenditure because it formed part of the initial outlay to set up the business, and the fact that part of it was described as an annual lease amount did not change its character. Section 44 was construed as a machinery provision enabling recovery of tax on the profits of a discontinued firm, and "tax payable" was held to include tax due whether already quantified or to be determined later. The partners of the discontinued firm could therefore be assessed jointly and severally for tax on pre-discontinuance profits. Case-Laws Income Tax Fri, 04 Dec 1936 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=186461