https://www.taxtmi.com/caselaws?id=21163 For capital gains valuation, surplus under the statutory compensation scheme is a valuation factor and not an independent amount payable in addition to the business's market value. The relevant surplus is determined through the statutory valuation principles rather than by treating the entire allocated surplus as separately payable. A running business may constitute a capital asset capable of improvement; increased business activity and assessed profits may support that conclusion, while unchanged share capital does not preclude it. Cost of improvement may be estimated from available evidence, including profits and established business improvement, where the estimate is a reasonable factual inference. en-us Tue, 20 Feb 1990 00:00:00 +0530 Fri, 20 Nov 2009 15:07:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=21163 For capital gains valuation, surplus under the statutory compensation scheme is a valuation factor and not an independent amount payable in addition to the business's market value. The relevant surplus is determined through the statutory valuation principles rather than by treating the entire allocated surplus as separately payable. A running business may constitute a capital asset capable of improvement; increased business activity and assessed profits may support that conclusion, while unchanged share capital does not preclude it. Cost of improvement may be estimated from available evidence, including profits and established business improvement, where the estimate is a reasonable factual inference. Case-Laws Income Tax Tue, 20 Feb 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=21163