https://www.taxtmi.com/caselaws?id=38481 For development rebate under section 34(3)(a) of the Income-tax Act, 1961, the prescribed portion must be carried to a distinct reserve account and kept subject to the statutory restrictions on use. A credit in a renewals and replacement account, maintained under a separate arrangement allowing business utilisation, was examined against that requirement and was not treated as equivalent to a reserve account merely because it held an amount above the minimum required deposit. The discussion distinguishes cases relied on by the revenue and concludes that such an account does not, by itself, satisfy the statutory reserve condition for allowance of the rebate. en-us Fri, 19 Mar 1976 00:00:00 +0530 Tue, 06 Apr 2010 15:17:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=38481 For development rebate under section 34(3)(a) of the Income-tax Act, 1961, the prescribed portion must be carried to a distinct reserve account and kept subject to the statutory restrictions on use. A credit in a renewals and replacement account, maintained under a separate arrangement allowing business utilisation, was examined against that requirement and was not treated as equivalent to a reserve account merely because it held an amount above the minimum required deposit. The discussion distinguishes cases relied on by the revenue and concludes that such an account does not, by itself, satisfy the statutory reserve condition for allowance of the rebate. Case-Laws Income Tax Fri, 19 Mar 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=38481