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1958 (10) TMI 7 - SC - Income TaxWhether the expression "at the rate applicable to the total income of the company" as appearing in sub-clause (b) of clause (ii) to the second explanation to proviso to paragraph B of Part I of the First Schedule to the Indian Finance Act, 1952, means the rate at which a company's total income is actually assessed or the rate prescribed by the respective Finance Acts without taking into consideration the rebate allowed in the respective years in accordance with the provisions of the Part B States (Taxation Concessions) Order, 1950 ? Held that:- We accordingly hold that the rate applicable in sub-clause (b) of clause (ii) of the explanation read with clause (ii) of the proviso to paragraph B of Schedule I of the Act means the rate actually applied in a given case. On this construction the rate at which the appellant is liable to pay the additional income-tax would be the difference between the rate of five annas and the rate of sixteen pies in a rupee at which the appellant has in fact paid income-tax in the relevant year. That is to say, the additional income-tax is leviable at the rate of forty-four pies in a rupee. Appeal dismissed.
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