https://www.taxtmi.com/caselaws?id=448516 A statutory exemption from trade tax under Section 4-A of the U.P. Trade Tax Act, 1948 did not convert the amount embedded in sale proceeds into a capital receipt or subsidy. The exemption operated as relief from liability to pay trade tax, not as a State-granted capital incentive, and the statute did not authorise the assessee to collect tax on exempt sales and retain it as capital. Amounts realised as part of the sale price had to be dealt with under the Act, and a self-created segregation of the sale price into a tax component was impermissible. The amount was therefore revenue in nature, not capital. en-us Mon, 18 Dec 2023 00:00:00 +0530 Wed, 18 Feb 2026 16:31:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=448516 A statutory exemption from trade tax under Section 4-A of the U.P. Trade Tax Act, 1948 did not convert the amount embedded in sale proceeds into a capital receipt or subsidy. The exemption operated as relief from liability to pay trade tax, not as a State-granted capital incentive, and the statute did not authorise the assessee to collect tax on exempt sales and retain it as capital. Amounts realised as part of the sale price had to be dealt with under the Act, and a self-created segregation of the sale price into a tax component was impermissible. The amount was therefore revenue in nature, not capital. Case-Laws Income Tax Mon, 18 Dec 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=448516