https://www.taxtmi.com/caselaws?id=446543 The dominant issue was the constitutional validity of s. 2(24)(xviii) of the Income-tax Act, inserted to treat specified Government subsidies/incentives as "income", challenged as arbitrary and discriminatory under Art. 14 and as impairing business profitability. The HC held Parliament's legislative competence was unquestioned and the provision carried a presumption of constitutionality; in fiscal statutes the legislature may enact targeted inclusionary measures to plug tax leakages, and diminished profits do not establish violation of Part III rights. The HC also noted the petitioner sought the incentive after the amendment, implying knowledge and acceptance of the prevailing tax regime, and that striking it down would create uncertainty and disrupt settled tax compliance. The writ petition was dismissed. en-us Mon, 04 Dec 2023 00:00:00 +0530 Fri, 09 Jan 2026 18:08:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=446543 The dominant issue was the constitutional validity of s. 2(24)(xviii) of the Income-tax Act, inserted to treat specified Government subsidies/incentives as "income", challenged as arbitrary and discriminatory under Art. 14 and as impairing business profitability. The HC held Parliament's legislative competence was unquestioned and the provision carried a presumption of constitutionality; in fiscal statutes the legislature may enact targeted inclusionary measures to plug tax leakages, and diminished profits do not establish violation of Part III rights. The HC also noted the petitioner sought the incentive after the amendment, implying knowledge and acceptance of the prevailing tax regime, and that striking it down would create uncertainty and disrupt settled tax compliance. The writ petition was dismissed. Case-Laws Income Tax Mon, 04 Dec 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=446543