https://www.taxtmi.com/caselaws?id=21823 For capital computation, excess provision for taxation over actual tax liability is treated as a reserve and included in capital, while the general reserve balance must be taken as it stands on the first day of the accounting year after reducing for dividend declared in the relevant previous year. The Bombay High Court applied its earlier rulings on the first point and followed Supreme Court authority on the second, confirming that reserve computation depends on the legal character of the amounts and the accounting position at the relevant date. en-us Fri, 08 Mar 1991 00:00:00 +0530 Tue, 01 Dec 2009 16:50:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=21823 For capital computation, excess provision for taxation over actual tax liability is treated as a reserve and included in capital, while the general reserve balance must be taken as it stands on the first day of the accounting year after reducing for dividend declared in the relevant previous year. The Bombay High Court applied its earlier rulings on the first point and followed Supreme Court authority on the second, confirming that reserve computation depends on the legal character of the amounts and the accounting position at the relevant date. Case-Laws Income Tax Fri, 08 Mar 1991 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=21823