Supreme Court of India

Pnb Finance Ltd. v. Commissioner of Income Tax-i, New Delhi

Neutral citation
Reported as [2008] 15 S.C.R. 556
Bench S.H. Kapadia and B. Sudershan Reddy JJ.
Decided 6 November 2008
Status Distinguished

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

We hold that on the facts and circumstances of this case, which concerns assessment 8 year 1970-71, it was not possible to compute capital gains and, therefore, the said amount of Rs. 10.20 er. was not taxable under Section 45 of the 1961 Act.

Judgment, page 11

From the headnote

Income Tax Act, 1961 - s.49 - Assessment Year 1970- 71 - Compensation received by Banking Undertaking on its c transfer under Banking Companies Act of 1970 - Taxability of - Held: The Banking Undertaking, inter alia,· included intangible assets like goodwill, tenancy rights, manpower and value of banking licence - Compensation was not allocable item-wise - Hence, it was not possible to compute capital gains and, therefore, the amount of compensation received by the Banking Undertaking on its transfer was not taxable ~ under s.45 - Banking Companies (Acquisition and Transfer of Undertakings)

Where later benches applied it

Of those, 1 relied on · 1 not applicable

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