https://www.taxtmi.com/caselaws?id=191828 For tax purposes, the real substance of a transaction prevails over its form. A bus transaction described as hire-purchase was examined against the surrounding facts, and because the vehicle remained in the assessee's name, with registration and permit continuing with him and no effective transfer of ownership to the financier, the arrangement was treated as a loan secured on the bus rather than a true sale. The clause providing for title to pass only on final instalment payment and a nominal Re. 1 was viewed as a security device. The assessee was therefore regarded as owner during the relevant period and entitled to development rebate. en-us Mon, 28 Sep 1964 00:00:00 +0530 Tue, 25 Apr 2017 18:02:31 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=191828 For tax purposes, the real substance of a transaction prevails over its form. A bus transaction described as hire-purchase was examined against the surrounding facts, and because the vehicle remained in the assessee's name, with registration and permit continuing with him and no effective transfer of ownership to the financier, the arrangement was treated as a loan secured on the bus rather than a true sale. The clause providing for title to pass only on final instalment payment and a nominal Re. 1 was viewed as a security device. The assessee was therefore regarded as owner during the relevant period and entitled to development rebate. Case-Laws Income Tax Mon, 28 Sep 1964 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=191828