https://www.taxtmi.com/caselaws?id=289084 Whether receipts from a selling agency are business profits or salary turns on contractual rights and obligations: where the agent selects staff, contracts independently, bears commercial risks (payment for goods, liability for unsold stock), and earns commission, receipts constitute business profits assessable to excess profits tax. Payments for managing an owner operated retail shop are salary unless they demonstrably reimburse actual expenses; only the reimbursed portion must be added to the agent's business income for assessment, the excess being salary. Outcome: selling agency commission is assessable business income; shop management payments are assessable only to the extent they reimburse actual expenses. en-us Thu, 11 May 1950 00:00:00 +0530 Tue, 14 Jul 2020 16:05:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=289084 Whether receipts from a selling agency are business profits or salary turns on contractual rights and obligations: where the agent selects staff, contracts independently, bears commercial risks (payment for goods, liability for unsold stock), and earns commission, receipts constitute business profits assessable to excess profits tax. Payments for managing an owner operated retail shop are salary unless they demonstrably reimburse actual expenses; only the reimbursed portion must be added to the agent's business income for assessment, the excess being salary. Outcome: selling agency commission is assessable business income; shop management payments are assessable only to the extent they reimburse actual expenses. Case-Laws Income Tax Thu, 11 May 1950 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=289084