https://www.taxtmi.com/caselaws?id=276759 "Reserves" under Rule 2(1) of Schedule II of the Business Profits Tax Act bear their plain meaning, so profits retained by directors and not distributed as dividends may qualify even if not earmarked for a specific purpose; on that basis, the carried-forward balance of Rs. 5,08,637 was treated as a reserve. By contrast, profits earned during 1 January 1946 to 1 April 1946 were not reserves because reserve status requires a conscious act of retention, and mere earning or use in business does not convert profits into reserve capital. en-us Thu, 29 Mar 1951 00:00:00 +0530 Fri, 16 Nov 2018 18:02:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=276759 "Reserves" under Rule 2(1) of Schedule II of the Business Profits Tax Act bear their plain meaning, so profits retained by directors and not distributed as dividends may qualify even if not earmarked for a specific purpose; on that basis, the carried-forward balance of Rs. 5,08,637 was treated as a reserve. By contrast, profits earned during 1 January 1946 to 1 April 1946 were not reserves because reserve status requires a conscious act of retention, and mere earning or use in business does not convert profits into reserve capital. Case-Laws Income Tax Thu, 29 Mar 1951 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=276759