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PETITIONER: SHOORJI VALLABHDAS & CO., BOMBAY
Vs.
RESPONDENT: THE COMMISSIONER OF INCOME-TAX/EXCESSPROFITS TAX, BOMBAY.
DATE OF JUDGMENT: 19/04/1960
BENCH: DAS, S.K. BENCH: DAS, S.K. KAPUR, J.L. HIDAYATULLAH, M.
CITATION: 1960 AIR 1162 1960 SCR (3) 557
ACT: Income-tax-Place of accrual of income-Business of transport- ing cargo to Ports in and outside British India-Managing Agency commission, a Percentage of freightage-Managing agents services performed in British India-Liability to tax of entire managing agency commission-Excess Profits Tax Act, 1940 (15 of 1940), s. 5, Proviso 3-Indian Income-tax Act, 1922 (II of 1922), s. 14 (2)(C).
HEADNOTE: The appellant was the managing agent of a company which was, at the relevant time, carrying on the business of transporting cargo in boats which touched ports in British India and in the Indian State of Cochin and other States. Under the managing agency contract the remuneration payable to the appellant was expressed in the following terms: " That the managing agent shall as and by way of remuneration for its services receive a commission of ten per cent. of the gross freight charged to the shippers... Such remuneration shall be payable to the managing agents at the place where the same is earned by the company unless other- wise requested by the man...