Landmark case · Law of Taxation · Semester 6
McDowell & Co. Ltd. v. CTO
(1985) 3 SCC 230 · Supreme Court of India
Colourable devices are not legitimate tax planning; the court looks at the true nature of the transaction.
From topic
Exemptions, clubbing and set-off — Unit III, Law of Taxation.
Related sections:
- Income-tax Act, 1961, 10 — Incomes not included in total income
- Income-tax Act, 1961, 60–64 — Clubbing of income
- Income-tax Act, 1961, 70–80 — Set-off and carry-forward of losses