AIR 1969 SUPREME COURT 862 ::1970 BLJR 355 ::1970 PatLJR 646 ::1969 3 SCR 860

Supreme Court Of India

(From Patna: 1964 BLJR 97)

Hon'ble Judge(s): J. C. Shah, A. N. Grover , JJ

Income-Tax Act (11 of 1922) , S.10(2), S.23(5)(a)(ii)— Assessee not carrying on any independent business of his own but receiving share of profits from several firms of which he was a partner - Such profits are liable to be included under his total income as his business income - Hence, they being business income, expenditure necessary for the purpose of earning that income and appropriate allowances are deductible therefrom under Section 10 (2) in determining his taxable income. I.-T. Ref. No. 38 of 1952, D/- 2-6-1953 (Cal), Overruled.AIR 1955 Bom 234 and (1963) 50 ITR 541 (Mad) and (1962) 44 ITR 887 (SC) and AIR 1959 Pat 395, Rel. on.(Paras6and7) (Para 6 7)