https://www.taxtmi.com/caselaws?id=49319 Amounts collected under statutory compulsion and credited to a Consumers' Benefit Reserve Account were held not to be part of real business income, because they were retained only for return to consumers by rebate or future distribution and not earned as profits. That amount was therefore deductible in computing taxable business income. The obligation to refund the sums also accrued during the relevant accounting years, and under the mercantile system the accrued liability was deductible in those years. The revenue challenge to the deduction failed, and the High Court's answer was set aside. en-us Mon, 19 Apr 1965 00:00:00 +0530 Sat, 25 Feb 2023 13:16:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=49319 Amounts collected under statutory compulsion and credited to a Consumers' Benefit Reserve Account were held not to be part of real business income, because they were retained only for return to consumers by rebate or future distribution and not earned as profits. That amount was therefore deductible in computing taxable business income. The obligation to refund the sums also accrued during the relevant accounting years, and under the mercantile system the accrued liability was deductible in those years. The revenue challenge to the deduction failed, and the High Court's answer was set aside. Case-Laws Income Tax Mon, 19 Apr 1965 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=49319