https://www.taxtmi.com/caselaws?id=36235 An amount transferred to general reserve as adjustment of excess depreciation after a change in depreciation method was held not to form part of a company's capital for surtax computation. The adjustment was treated as a book reserve arising from revaluation or an equivalent upward adjustment of assets, and therefore fell within the express exclusion in Explanation 1 to rule 2 of the Second Schedule to the Companies (Profits) Surtax Act, 1964. Accordingly, such reserve could not be included in capital for determining the statutory deduction under the Act, and the issue was resolved in favour of the Revenue. en-us Thu, 24 Aug 1978 00:00:00 +0530 Sat, 20 Mar 2010 12:04:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=36235 An amount transferred to general reserve as adjustment of excess depreciation after a change in depreciation method was held not to form part of a company's capital for surtax computation. The adjustment was treated as a book reserve arising from revaluation or an equivalent upward adjustment of assets, and therefore fell within the express exclusion in Explanation 1 to rule 2 of the Second Schedule to the Companies (Profits) Surtax Act, 1964. Accordingly, such reserve could not be included in capital for determining the statutory deduction under the Act, and the issue was resolved in favour of the Revenue. Case-Laws Income Tax Thu, 24 Aug 1978 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=36235