https://www.taxtmi.com/caselaws?id=276546 Section 23A of the Income-tax Act, 1922 deems the undistributed assessable income to have been distributed as dividends as on the date of the general meeting, so the fiction must be tested against the law then in force. Because the Public Companies (Limitation of Dividends) Ordinance, 1948 prohibited declaration of a larger dividend on the meeting date, the notional distribution could not be validly assumed. The later repeal of that Ordinance did not remove the effect of the contemporaneous bar, and the repeal clause in the subsequent Act did not override section 6 of the General Clauses Act. Accordingly, the section 23A order was treated as invalid. en-us Thu, 27 Sep 1962 00:00:00 +0530 Tue, 13 Nov 2018 16:20:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=276546 Section 23A of the Income-tax Act, 1922 deems the undistributed assessable income to have been distributed as dividends as on the date of the general meeting, so the fiction must be tested against the law then in force. Because the Public Companies (Limitation of Dividends) Ordinance, 1948 prohibited declaration of a larger dividend on the meeting date, the notional distribution could not be validly assumed. The later repeal of that Ordinance did not remove the effect of the contemporaneous bar, and the repeal clause in the subsequent Act did not override section 6 of the General Clauses Act. Accordingly, the section 23A order was treated as invalid. Case-Laws Income Tax Thu, 27 Sep 1962 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=276546