https://www.taxtmi.com/caselaws?id=39530 Shares of the Bihar State Financial Corporation were not preference shares because they did not carry a legally fixed and preferential dividend right; all shareholders formed a single class, and the dividend operated within a statutory range rather than at an invariable rate. On that footing, the additional rebate on dividend was unavailable, because the Finance Acts linked the further concession to dividend on preference shares. The actual payment of dividend at 3 1/2% did not alter the legal character of the shares, since entitlement under the governing law, not past payment practice, was the relevant test. en-us Thu, 18 Jul 1974 00:00:00 +0530 Sat, 17 Apr 2010 11:19:31 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39530 Shares of the Bihar State Financial Corporation were not preference shares because they did not carry a legally fixed and preferential dividend right; all shareholders formed a single class, and the dividend operated within a statutory range rather than at an invariable rate. On that footing, the additional rebate on dividend was unavailable, because the Finance Acts linked the further concession to dividend on preference shares. The actual payment of dividend at 3 1/2% did not alter the legal character of the shares, since entitlement under the governing law, not past payment practice, was the relevant test. Case-Laws Income Tax Thu, 18 Jul 1974 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39530