https://www.taxtmi.com/caselaws?id=39277 Amounts set aside to meet known or anticipated business liabilities, even where the precise figure is uncertain, are provisions and not reserves. The High Court treated provisions for breakages, damages, contingencies and bonus as current liabilities reflected in the accounts as provisions, with no earmarking or destination showing appropriation to reserve. They were therefore excluded from capital computation under the Super Profits Tax Act, 1963 and the Companies (Profits) Surtax Act, 1964. The disputed amounts could not be included as reserves for surtax or super profits tax purposes, and the references were answered against the assessee. en-us Wed, 24 Sep 1975 00:00:00 +0530 Thu, 15 Apr 2010 11:59:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39277 Amounts set aside to meet known or anticipated business liabilities, even where the precise figure is uncertain, are provisions and not reserves. The High Court treated provisions for breakages, damages, contingencies and bonus as current liabilities reflected in the accounts as provisions, with no earmarking or destination showing appropriation to reserve. They were therefore excluded from capital computation under the Super Profits Tax Act, 1963 and the Companies (Profits) Surtax Act, 1964. The disputed amounts could not be included as reserves for surtax or super profits tax purposes, and the references were answered against the assessee. Case-Laws Income Tax Wed, 24 Sep 1975 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39277