https://www.taxtmi.com/caselaws?id=276547 A liquidator's later distribution is taxable as dividend only if it is shown, in fact, to be attributable to accumulated profits remaining at the date of distribution; section 2(6A)(c) creates a limited legal fiction and does not deem every liquidation payment to be dividend. The earlier assessment of part of the fund under the pre-amendment proviso did not by itself establish that all accumulated profits had been exhausted. Because no finding was made that the later distribution represented accumulated profits, and no apportionment or dissection was undertaken, the statutory basis for dividend tax failed. The amount was therefore not taxable as dividend, although the Chief Justice dissented and would have upheld taxability to the extent traceable to remaining profits. en-us Mon, 22 Jun 1964 00:00:00 +0530 Tue, 13 Nov 2018 16:34:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=276547 A liquidator's later distribution is taxable as dividend only if it is shown, in fact, to be attributable to accumulated profits remaining at the date of distribution; section 2(6A)(c) creates a limited legal fiction and does not deem every liquidation payment to be dividend. The earlier assessment of part of the fund under the pre-amendment proviso did not by itself establish that all accumulated profits had been exhausted. Because no finding was made that the later distribution represented accumulated profits, and no apportionment or dissection was undertaken, the statutory basis for dividend tax failed. The amount was therefore not taxable as dividend, although the Chief Justice dissented and would have upheld taxability to the extent traceable to remaining profits. Case-Laws Income Tax Mon, 22 Jun 1964 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=276547