Taxability of subsidy - Revenue receipt or capital receipt - "10 per cent Central Outright Grant of Subsidy Scheme, 1971"

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Full Text of the Document

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.... received under 10 per cent Central Outright Grant of Subsidy Scheme for industrial units to be set up in certain selected backward districts/areas would constitute revenue receipt or capital receipt in the hands of the recipient for the purpose of income-tax. 2. I am directed to say that the payment of subsidy under the scheme is primarily given for helping the growth of industries and not for s....