https://www.taxtmi.com/caselaws?id=8451 The High Court held that raw materials received as a gift should not be considered income but rather as stock-in-trade. The Court emphasized that the treatment of such gifts as income was incorrect, as the materials did not fall under the definition of income as per the Income-tax Act. The Court ruled in favor of the assessee, highlighting that stock-in-trade becomes profit or loss only upon disposal, and in this case, the materials were received as a gift and used in production. The Court did not award costs due to the issue's complexity. en-us Mon, 20 Sep 1971 00:00:00 +0530 Wed, 15 Apr 2009 17:08:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=8451 The High Court held that raw materials received as a gift should not be considered income but rather as stock-in-trade. The Court emphasized that the treatment of such gifts as income was incorrect, as the materials did not fall under the definition of income as per the Income-tax Act. The Court ruled in favor of the assessee, highlighting that stock-in-trade becomes profit or loss only upon disposal, and in this case, the materials were received as a gift and used in production. The Court did not award costs due to the issue's complexity. Case-Laws Income Tax Mon, 20 Sep 1971 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=8451