2002 PTD 877

Judgment & Analysis

Share deposit money---Deeming such sums as "loan" or "advance"---Show-cause notices were issued to assessees on the point that introduction of "share deposit money" over and above the authorised capital otherwise than by crossed cheques were against the provisions of S.12(18) of the Income Tax Ordinance, 1979---Authority considered such amounts as "loan" from Directors under the garb of "share deposit money"---High Court set aside such additions of sums received by assessees and showed as share deposit money---Validity---Department could not controvert the observations of High Court to the effect that in all the cases not only authorized capital of assessees had increased, but in fact shares had also been issued against the deposits made by assessees---Amounts in question were "share depos...