https://www.taxtmi.com/caselaws?id=22667 The Court upheld the Appellate Tribunal's decision to allow the conversion of a foreign loan at the prevailing exchange rate for computing surtax liability, rejecting the Revenue's argument to use the exchange rate at the time of borrowing. Additionally, the Court affirmed the Tribunal's directive for the Income-tax Officer to adjust relief in the income tax assessment, emphasizing that the company's capital should reflect the foreign exchange liability, subject to fluctuations in exchange rates. The judgment favored the company, ensuring a fair assessment of its financial position by using the relevant date's exchange rate for conversions. en-us Mon, 14 Jan 1991 00:00:00 +0530 Sat, 12 Dec 2009 11:51:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=22667 The Court upheld the Appellate Tribunal's decision to allow the conversion of a foreign loan at the prevailing exchange rate for computing surtax liability, rejecting the Revenue's argument to use the exchange rate at the time of borrowing. Additionally, the Court affirmed the Tribunal's directive for the Income-tax Officer to adjust relief in the income tax assessment, emphasizing that the company's capital should reflect the foreign exchange liability, subject to fluctuations in exchange rates. The judgment favored the company, ensuring a fair assessment of its financial position by using the relevant date's exchange rate for conversions. Case-Laws Income Tax Mon, 14 Jan 1991 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=22667