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1984 (10) TMI 41 - SC - Income TaxWhether a company in liquidation is chargeable to super profits tax under the Super Profits Tax Act, 1963? Held that:- When there is a case to which the computation provisions cannot apply at all, it is evident that such a case was not intended to fall within the charging section. Otherwise, one would be driven to conclude that while a certain income seems to fall within the charging section, there is no scheme of computation for quantifying it. The legislative pattern discernible in the Act is against such a conclusion. " Exactly similar being the scheme of the Super Profits Tax Act, 1963, the above observations fully apply to the case before us. Hence, it has to be held that inasmuch as the provisions contained in the Act for computing the capital of the company and its reserves cannot have any application in respect of a company in liquidation and, consequently, the " standard deduction " is incapable of ascertainment, the charge of super profits tax under s. 4 of the Act is not attracted to such a case. The judgment of the High Court does not, therefore, call for any interference. Appeal dismissed.
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