https://www.taxtmi.com/caselaws?id=276196 The Explanation to section 23A(9) of the Income-tax Act, 1922 was construed as imposing cumulative conditions for a manufacturing or processing company to be treated as one in which the public were substantially interested; because the required shareholding and control by not less than six persons were not satisfied, the company failed the statutory test and section 23A applied. The Calcutta HC also upheld section 23A as amended in 1955, holding that the numerical thresholds and control requirement were based on a rational classification and were neither arbitrary nor confiscatory, so the constitutional challenge under Articles 14, 19(1)(f), 19(1)(g) and 265 failed. en-us Thu, 11 Feb 1965 00:00:00 +0530 Thu, 01 Nov 2018 14:53:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=276196 The Explanation to section 23A(9) of the Income-tax Act, 1922 was construed as imposing cumulative conditions for a manufacturing or processing company to be treated as one in which the public were substantially interested; because the required shareholding and control by not less than six persons were not satisfied, the company failed the statutory test and section 23A applied. The Calcutta HC also upheld section 23A as amended in 1955, holding that the numerical thresholds and control requirement were based on a rational classification and were neither arbitrary nor confiscatory, so the constitutional challenge under Articles 14, 19(1)(f), 19(1)(g) and 265 failed. Case-Laws Income Tax Thu, 11 Feb 1965 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=276196