Helicopter charter classification requires effective control analysis, while territorial performance, reasoned credit orders and wilful suppression de...
Specified fund definition expands PAN exemption eligibility for registered alternative investment funds and qualifying International Financial Service...
Tax exemption for specified legal-services authority income applies retrospectively, subject to non-commercial activity, unchanged income sources, and...
Approved resolution plans extinguish unsubmitted pre-approval tax claims, preventing later recovery outside the insolvency process and preserving a cl...
Expenditure incurred for payment of foreclosure premium for restructuring loan and obtaining fresh loan at a lower rate of interest is allowable as business expenditure u/s 37(1). The pre-closure premium can be claimed as revenue expenditure u/s 37. The foreclosure of the loan to contain exorbitant charges stems from a business decision and commercial expediency governing the assessee's business dealings. An assessee can decide the best way to conduct business and maximize profits, subject to compliance with the law. The decision in Overseas Sanmar Financial Limited, where foreclosure premium was allowed as business expenditure on similar facts, has attained finality as it was not challenged by the Income-Tax Department. The High Court ruled in favor of the assessee.
Expenditure incurred for payment of foreclosure premium for restructuring loan and obtaining fresh loan at a lower rate of interest is allowable as business expenditure u/s 37(1). The pre-closure premium can be claimed as revenue expenditure u/s 37. The foreclosure of the loan to contain exorbitant charges stems from a business decision and commercial expediency governing the assessee's business dealings. An assessee can decide the best way to conduct business and maximize profits, subject to compliance with the law. The decision in Overseas Sanmar Financial Limited, where foreclosure premium was allowed as business expenditure on similar facts, has attained finality as it was not challenged by the Income-Tax Department. The High Court ruled in favor of the assessee.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 4805
Join Channel
TaxTMI 
