1993 (2) TMI 4

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....erence No. 711 of 1973. The question which was referred to the High Court under section 256(2) of the Income-tax Act was : " Whether, on the facts and in the circumstances of the case, the sum of Rs. 1,01,530 provided as bonus relating to the profits of the assessment year 1961-62 was an allowable deduction under section 10(2)(x) of the Indian Income-tax Act, 1922 ? " The assessment year con....

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..... 1,01,530 towards bonus and claimed deduction of the said amount in its assessment proceedings. Its claim was disallowed and it is this issue which was ultimately referred to the High Court. The accounting year concerned herein is one prior to the coming into force of the Bonus Act. Therefore, there was no existing liability upon the assessee to pay bonus during the said accounting year. In ot....