International transaction characterisation of domestic divestment of support services business rejected; transaction between resident associated enter...
Minimum Import Price restrictions for Black Pepper, Areca-nuts and Apples upheld; procedural laying failure not fatal, notifications to be placed befo...
Transaction value between related persons requires market-equivalent pricing; importer must prove declared value mirrors ordinary international trade ...
The primary issue is classification of expenditure on railway track, conveyor belt and ventilation ducting as revenue or capital. The tribunal applied the enduring-benefit test: if expenditure creates an enduring asset for the business's permanent profit-earning apparatus it is capital; if it facilitates current contract operations and yields only temporary utility it is revenue. Applying this test, the tribunal found the site-specific railway siding, conveyor system and ventilation ducting were temporary, removable or functionally limited to the contract and did not enhance core capacity; accordingly the expenditure was revenue in nature and the appellant's appeal was allowed.
The primary issue is classification of expenditure on railway track, conveyor belt and ventilation ducting as revenue or capital. The tribunal applied the enduring-benefit test: if expenditure creates an enduring asset for the business's permanent profit-earning apparatus it is capital; if it facilitates current contract operations and yields only temporary utility it is revenue. Applying this test, the tribunal found the site-specific railway siding, conveyor system and ventilation ducting were temporary, removable or functionally limited to the contract and did not enhance core capacity; accordingly the expenditure was revenue in nature and the appellant's appeal was allowed.
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