https://www.taxtmi.com/caselaws?id=23780 Section 2(8) of the Companies (Profits) Surtax Act, 1964 is discussed in relation to the statutory deduction and the computation of capital base where the previous year is shorter than 12 months. The text explains that the dispute concerned whether capital base should be proportionately reduced for a 9-month period or taken at the full amount for surtax assessment. The court's interpretation rejected proportional adjustment based only on the length of the previous year and treated the proviso to section 2(8) as governing the computation of capital base. The analysis also distinguishes an earlier Madras High Court decision as not controlling on this point. en-us Fri, 29 Sep 1989 00:00:00 +0530 Thu, 14 Jan 2010 12:00:22 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=23780 Section 2(8) of the Companies (Profits) Surtax Act, 1964 is discussed in relation to the statutory deduction and the computation of capital base where the previous year is shorter than 12 months. The text explains that the dispute concerned whether capital base should be proportionately reduced for a 9-month period or taken at the full amount for surtax assessment. The court's interpretation rejected proportional adjustment based only on the length of the previous year and treated the proviso to section 2(8) as governing the computation of capital base. The analysis also distinguishes an earlier Madras High Court decision as not controlling on this point. Case-Laws Income Tax Fri, 29 Sep 1989 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=23780