https://www.taxtmi.com/caselaws?id=207093 Eligibility for deduction under section 80-IB must be satisfied in the relevant previous year, and prior allowance does not preserve the claim if the undertaking no longer qualifies as a small scale industrial undertaking; the deduction was therefore disallowed. Cash payments to transporters above the prescribed limit attracted section 40A(3) disallowance, which was sustained. Replacement of a machine part in the course of business, without any enduring advantage or expansion of capacity, was treated as revenue expenditure. Disallowance under section 40A(ia) on transport payments was deleted in line with the coordinate bench view. The interest disallowance issue under section 36(1)(iii) was remanded for fresh adjudication because the substantive challenge had not been decided. en-us Thu, 31 Mar 2011 00:00:00 +0530 Sat, 10 Dec 2011 02:40:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=207093 Eligibility for deduction under section 80-IB must be satisfied in the relevant previous year, and prior allowance does not preserve the claim if the undertaking no longer qualifies as a small scale industrial undertaking; the deduction was therefore disallowed. Cash payments to transporters above the prescribed limit attracted section 40A(3) disallowance, which was sustained. Replacement of a machine part in the course of business, without any enduring advantage or expansion of capacity, was treated as revenue expenditure. Disallowance under section 40A(ia) on transport payments was deleted in line with the coordinate bench view. The interest disallowance issue under section 36(1)(iii) was remanded for fresh adjudication because the substantive challenge had not been decided. Case-Laws Income Tax Thu, 31 Mar 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=207093