https://www.taxtmi.com/caselaws?id=200014 A lump sum received by an employee or director for a reduction in remuneration, while service continues, is treated as a revenue receipt and assessable as income; it is not compensation for loss of employment within the relevant definition. Because the assessee remained in service as governing director on reduced pay, the amount represented the commuted value of the salary reduction rather than payment for cessation of employment. Authorities concerning total termination of service were distinguished on that basis, and the receipt was held taxable. en-us Wed, 23 Mar 1955 00:00:00 +0530 Sat, 17 Mar 2018 12:25:12 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=200014 A lump sum received by an employee or director for a reduction in remuneration, while service continues, is treated as a revenue receipt and assessable as income; it is not compensation for loss of employment within the relevant definition. Because the assessee remained in service as governing director on reduced pay, the amount represented the commuted value of the salary reduction rather than payment for cessation of employment. Authorities concerning total termination of service were distinguished on that basis, and the receipt was held taxable. Case-Laws Income Tax Wed, 23 Mar 1955 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=200014