Questions & Answers On: real income theory of taxation

Real Income Theory Of Taxation
Subject: Real Income Theory Of Taxation
Category:  Income Tax
Asked by: Prashant Joshi
Answered by:
Date: September 26, 2018
Excerpt of answer:

The charge is not on gross receipts but on profits and gains properly so called. Gross receipts or sale proceeds, however, include profits. The word “profits” in section 28 should be understood in normal and proper sense. However, subject to special requirements of the income-tax, profits have got to be assessed provided they are real profits