https://www.taxtmi.com/caselaws?id=458478 Amounts representing lapsed demand drafts and gift cheques credited to the profit and loss account were held not to be taxable income where RBI instructions required the sums to be transferred to general reserve for meeting future claims. Because the assessee remained liable to honour future claims and the liability had not ceased, the receipts could not be treated as freely available income or as dividend. On that basis, the revisionary direction under section 263 directing inclusion in income was unsustainable and was set aside. en-us Tue, 20 Oct 2020 00:00:00 +0530 Wed, 30 Oct 2024 07:26:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=458478 Amounts representing lapsed demand drafts and gift cheques credited to the profit and loss account were held not to be taxable income where RBI instructions required the sums to be transferred to general reserve for meeting future claims. Because the assessee remained liable to honour future claims and the liability had not ceased, the receipts could not be treated as freely available income or as dividend. On that basis, the revisionary direction under section 263 directing inclusion in income was unsustainable and was set aside. Case-Laws Income Tax Tue, 20 Oct 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=458478