https://www.taxtmi.com/caselaws?id=28824 The High Court of Delhi ruled in favor of the respondent-assessee in a super profits tax assessment case for the assessment year 1963-64. The court held that the amount transferred to a contingency reserve was deductible from chargeable profits as it qualified as a reserve, not a provision. Additionally, the credit balance in the contingency reserve was considered part of the company's capital, along with the amount transferred. The amount in the charity reserve was also classified as a reserve, contributing to the company's capital. The court emphasized the distinction between reserves and provisions in determining capital under the Super Profits Tax Act, 1963. en-us Fri, 07 Jan 1983 00:00:00 +0530 Fri, 26 Feb 2010 11:39:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=28824 The High Court of Delhi ruled in favor of the respondent-assessee in a super profits tax assessment case for the assessment year 1963-64. The court held that the amount transferred to a contingency reserve was deductible from chargeable profits as it qualified as a reserve, not a provision. Additionally, the credit balance in the contingency reserve was considered part of the company's capital, along with the amount transferred. The amount in the charity reserve was also classified as a reserve, contributing to the company's capital. The court emphasized the distinction between reserves and provisions in determining capital under the Super Profits Tax Act, 1963. Case-Laws Income Tax Fri, 07 Jan 1983 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=28824