https://www.taxtmi.com/caselaws?id=14389 HC held that where a representative assessee (trust) breaches section 13(1)(d), the proviso to section 164(2) permits levy of the maximum marginal rate only on the specific income that has forfeited exemption (here, dividend income), not on the trust's entire income. Other income remains taxable at normal rates. The court relied on section 161(1A), the statutory history, and Circular No. 387/1984 to distinguish eligibility for exemption from forfeiture. The appeals were allowed in favour of the assessee and dismissed the Department's contention, with no order as to costs. en-us Wed, 11 Oct 2000 00:00:00 +0530 Mon, 06 Oct 2025 18:22:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=14389 HC held that where a representative assessee (trust) breaches section 13(1)(d), the proviso to section 164(2) permits levy of the maximum marginal rate only on the specific income that has forfeited exemption (here, dividend income), not on the trust's entire income. Other income remains taxable at normal rates. The court relied on section 161(1A), the statutory history, and Circular No. 387/1984 to distinguish eligibility for exemption from forfeiture. The appeals were allowed in favour of the assessee and dismissed the Department's contention, with no order as to costs. Case-Laws Income Tax Wed, 11 Oct 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=14389