https://www.taxtmi.com/caselaws?id=27339 Amounts collected in the course of business and retained by an assessee may constitute taxable trading receipts despite being recorded as liabilities. Sales tax collections refunded after invalidation of the statutory levy remained taxable where they were not returned to the dealers from whom they had been collected. Similarly, sums collected for onward payment to the Indian Sugar Syndicate were assessable as income when retained and not paid over. The decisive consideration is the true nature and quality of the receipt, not its accounting treatment; commercially derived collections retained by the assessee are trading receipts liable to tax. en-us Tue, 12 Mar 1985 00:00:00 +0530 Fri, 12 Feb 2010 12:06:36 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=27339 Amounts collected in the course of business and retained by an assessee may constitute taxable trading receipts despite being recorded as liabilities. Sales tax collections refunded after invalidation of the statutory levy remained taxable where they were not returned to the dealers from whom they had been collected. Similarly, sums collected for onward payment to the Indian Sugar Syndicate were assessable as income when retained and not paid over. The decisive consideration is the true nature and quality of the receipt, not its accounting treatment; commercially derived collections retained by the assessee are trading receipts liable to tax. Case-Laws Income Tax Tue, 12 Mar 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=27339