https://www.taxtmi.com/caselaws?id=17113 For surtax computation under the First Schedule to the Companies (Profits) Surtax Act, 1964, dividend and royalty deductions were to be taken on net income, not gross receipt. The explanatory treatment of rule 1 was treated as clarificatory and aligned the surtax computation with the corresponding income-tax scheme, so the net-income principle applied to earlier assessment years as well. The contrary gross-based approach was rejected, and the Tribunal's view allowing gross dividend and gross royalty deductions was disapproved. en-us Thu, 18 Jul 1996 00:00:00 +0530 Tue, 15 Sep 2009 12:50:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17113 For surtax computation under the First Schedule to the Companies (Profits) Surtax Act, 1964, dividend and royalty deductions were to be taken on net income, not gross receipt. The explanatory treatment of rule 1 was treated as clarificatory and aligned the surtax computation with the corresponding income-tax scheme, so the net-income principle applied to earlier assessment years as well. The contrary gross-based approach was rejected, and the Tribunal's view allowing gross dividend and gross royalty deductions was disapproved. Case-Laws Income Tax Thu, 18 Jul 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17113