https://www.taxtmi.com/caselaws?id=58715 Section 104 of the Income-tax Act was considered in the context of a trading company with a small post-tax surplus and only negligible dividend capacity. After examining returned and assessed income, including disallowances and notional additions, the available surplus was found to be insufficient to support any meaningful dividend. On that basis, non-declaration of dividend was treated as a prudent business decision rather than conduct attracting the levy. The cancellation of the section 104 orders was upheld, and the Revenue's appeals failed. en-us Mon, 28 Jan 1980 00:00:00 +0530 Tue, 21 Dec 2010 16:42:54 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=58715 Section 104 of the Income-tax Act was considered in the context of a trading company with a small post-tax surplus and only negligible dividend capacity. After examining returned and assessed income, including disallowances and notional additions, the available surplus was found to be insufficient to support any meaningful dividend. On that basis, non-declaration of dividend was treated as a prudent business decision rather than conduct attracting the levy. The cancellation of the section 104 orders was upheld, and the Revenue's appeals failed. Case-Laws Income Tax Mon, 28 Jan 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=58715