https://www.taxtmi.com/caselaws?id=38980 Section 46(2) of the Income-tax Act treats money or assets received by a shareholder on liquidation as the consideration for capital gains on the date each distribution is made. Chargeability attaches to each receipt when distributed, and the statute does not defer tax until the final liquidation distribution. Where distributions were received before the 1961 Act introduced such a levy, they could not be taxed as capital gains. Once the shareholder's cost of acquisition is recovered, any later excess is taxed as capital gain when received. en-us Mon, 22 Mar 1976 00:00:00 +0530 Sat, 10 Apr 2010 17:35:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=38980 Section 46(2) of the Income-tax Act treats money or assets received by a shareholder on liquidation as the consideration for capital gains on the date each distribution is made. Chargeability attaches to each receipt when distributed, and the statute does not defer tax until the final liquidation distribution. Where distributions were received before the 1961 Act introduced such a levy, they could not be taxed as capital gains. Once the shareholder's cost of acquisition is recovered, any later excess is taxed as capital gain when received. Case-Laws Income Tax Mon, 22 Mar 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=38980