https://www.taxtmi.com/caselaws?id=277020 A managing agency agreement must be construed according to its express terms when computing annual net profits for commission. Because the agreement specified the deductions to be made and did not include excess profits tax, that tax could not be implied as a further deduction. The levy was imposed after the agreement and was treated as a tax on profits, not an expense incurred in earning them. The court therefore held that managing agents' commission had to be calculated without deducting excess profits tax, and answered the reference in favour of the assessee. en-us Tue, 30 Dec 1952 00:00:00 +0530 Thu, 22 Nov 2018 12:09:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=277020 A managing agency agreement must be construed according to its express terms when computing annual net profits for commission. Because the agreement specified the deductions to be made and did not include excess profits tax, that tax could not be implied as a further deduction. The levy was imposed after the agreement and was treated as a tax on profits, not an expense incurred in earning them. The court therefore held that managing agents' commission had to be calculated without deducting excess profits tax, and answered the reference in favour of the assessee. Case-Laws Income Tax Tue, 30 Dec 1952 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=277020