lakshminarayan case (partnership act)
MANU/SC/0089/1954
Equivalent Citation: AIR1954SC364, [1954]25ITR449(SC), [1955]1SCR393
IN THE SUPREME COURT OF INDIA
Decided On: 01.04.1954
Appellants: Lakshminarayan Ram Gopal and Son Ltd.
Vs.
Respondent: The Government of Hyderabad
Hon'ble Judges/Coram:
Sudhi Ranjan Das, Bhagwati and B. Jagannadhadas, JJ.
Subject: Direct Taxation
Catch Words
Mentioned IN
Acts/Rules/Orders:
Partnership Act - Section 4
Authorities Referred:
Powell's Law of Agency; Halsbury's Laws of England - Hailsham Edition - Volume 22; Halsbury's Laws of England - Hailsham Edition - Volume 1
Citing Reference:
Discussed 3
Mentioned 1
Case Note:
Direct Taxation assessment of income - Section 4 of Partnership Act appellant a registered company entered into an agreement with Mill company appointing its agent for thirty years - amount received by appellant from Mill company were assessed under income tax - appellant contended remuneration received from the Mills company was not taxable as it was not profit or gains from business - following question referred to High Court - whether under the terms of the agreement the petitioner is an employee of the Mills Company or is carrying on business - whether the remuneration received from the Mills is on account of service or is the remuneration for business - matter decided against appellant - appellant moved to the Supreme Court - Court observed the objects of the appellants in this case inter alia were to act as agents for Government - appellants were therefore rightly assessed for excess profits tax.
JUDGMENT
Bhagwati, J.
1. These are two appeals from the judgment and decision of the High Court of Judicature at Hyderabad answering certain questions referred at the instance of the appellants by the Commissioner of Excess Profits Tax, Hyderabad, and adjudging the liability of the appellants for excess profits tax in regard to the amounts received by them as remuneration from the Dewan Bahadur Ramgopal Mills
Equivalent Citation: AIR1954SC364, [1954]25ITR449(SC), [1955]1SCR393
IN THE SUPREME COURT OF INDIA
Decided On: 01.04.1954
Appellants: Lakshminarayan Ram Gopal and Son Ltd.
Vs.
Respondent: The Government of Hyderabad
Hon'ble Judges/Coram:
Sudhi Ranjan Das, Bhagwati and B. Jagannadhadas, JJ.
Subject: Direct Taxation
Catch Words
Mentioned IN
Acts/Rules/Orders:
Partnership Act - Section 4
Authorities Referred:
Powell's Law of Agency; Halsbury's Laws of England - Hailsham Edition - Volume 22; Halsbury's Laws of England - Hailsham Edition - Volume 1
Citing Reference:
Discussed 3
Mentioned 1
Case Note:
Direct Taxation assessment of income - Section 4 of Partnership Act appellant a registered company entered into an agreement with Mill company appointing its agent for thirty years - amount received by appellant from Mill company were assessed under income tax - appellant contended remuneration received from the Mills company was not taxable as it was not profit or gains from business - following question referred to High Court - whether under the terms of the agreement the petitioner is an employee of the Mills Company or is carrying on business - whether the remuneration received from the Mills is on account of service or is the remuneration for business - matter decided against appellant - appellant moved to the Supreme Court - Court observed the objects of the appellants in this case inter alia were to act as agents for Government - appellants were therefore rightly assessed for excess profits tax.
JUDGMENT
Bhagwati, J.
1. These are two appeals from the judgment and decision of the High Court of Judicature at Hyderabad answering certain questions referred at the instance of the appellants by the Commissioner of Excess Profits Tax, Hyderabad, and adjudging the liability of the appellants for excess profits tax in regard to the amounts received by them as remuneration from the Dewan Bahadur Ramgopal Mills