https://www.taxtmi.com/caselaws?id=17379 Rule 1(xi) of the First Schedule to the Companies (Profits) Surtax Act, 1964 permits deduction for a banking company only of sums actually transferred to the reserve fund during the previous year under section 17(1) of the Banking Regulation Act, 1949. A later appropriation approved after year-end cannot be treated as an actual transfer for deduction purposes. On the facts, only Rs. 27,000 was transferred during the relevant year, while Rs. 1,23,000 was appropriated later by resolution and approval. The larger amount was therefore not deductible, and the reference was answered against the assessee. en-us Wed, 11 Sep 1996 00:00:00 +0530 Mon, 21 Sep 2009 18:50:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17379 Rule 1(xi) of the First Schedule to the Companies (Profits) Surtax Act, 1964 permits deduction for a banking company only of sums actually transferred to the reserve fund during the previous year under section 17(1) of the Banking Regulation Act, 1949. A later appropriation approved after year-end cannot be treated as an actual transfer for deduction purposes. On the facts, only Rs. 27,000 was transferred during the relevant year, while Rs. 1,23,000 was appropriated later by resolution and approval. The larger amount was therefore not deductible, and the reference was answered against the assessee. Case-Laws Income Tax Wed, 11 Sep 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17379