https://www.taxtmi.com/caselaws?id=70559 The Appellate Tribunal ITAT MADRAS-D ruled in the case concerning the treatment of guarantee commission as revenue or capital expenditure for the assessment year 1973-74 of a Public Limited Company. The Tribunal upheld the Department's appeal, disallowing the guarantee commission as a revenue deduction. It emphasized that the guarantee commission, paid for acquiring machinery, should be considered part of the actual cost of machinery, in line with the interpretation of "actual cost" for capital assets in relevant court judgments. Therefore, the Tribunal concluded that the guarantee commission constitutes capital expenditure and should not be allowed as a revenue deduction. en-us Fri, 05 Jan 1979 00:00:00 +0530 Mon, 18 Apr 2011 09:59:27 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=70559 The Appellate Tribunal ITAT MADRAS-D ruled in the case concerning the treatment of guarantee commission as revenue or capital expenditure for the assessment year 1973-74 of a Public Limited Company. The Tribunal upheld the Department's appeal, disallowing the guarantee commission as a revenue deduction. It emphasized that the guarantee commission, paid for acquiring machinery, should be considered part of the actual cost of machinery, in line with the interpretation of "actual cost" for capital assets in relevant court judgments. Therefore, the Tribunal concluded that the guarantee commission constitutes capital expenditure and should not be allowed as a revenue deduction. Case-Laws Income Tax Fri, 05 Jan 1979 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=70559