Supreme Court of India

Poona Electric Supply Co. Ltd. v. Commissioner of Income-tax, Bombay

Neutral citation
Reported as [1965] 3 S.C.R. 818
Bench K. Subba Rao J.
Decided 19 April 1965

INSC stands for INDIAN SUPREME COURT. A neutral citation scheme assigned by the Court itself, so a judgment can be cited without depending on a commercial law reporter. INSC is the neutral citation scheme assigned by the Supreme Court, so a judgment can be cited without depending on a commercial law reporter.

2 Supreme Court benches have cited this judgment.

What the Court ordered

In the result we answer the question referred to the High Court in the affirmative and in favour of the assessee.

Judgment, page 11

From the headnote

Income-tax Act (11 of 1922) s. 10(1)-Projit arrived at after deduct­ ing amount. according to Electricity (Supply) Act, 1943-Taxoblc in­ ceme--If deductions can be allowed. The appellant-company was a commercial undertaking, doing the business of supply of electricity .subject to the provisions of Electricity (5upply) Act, 1948. For the purpose of rationalization of rates and keeping them under control, the licensee was directed by the Act to adjust the rates in such a way that the clear profit in any year did 1;1ot exceed the amount ot reasonable return as defined in the Act; but that if an

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