https://www.taxtmi.com/caselaws?id=253338 The Tribunal allowed the deduction of Rs. 3.17 crore in expenses for the assessment year 2007-08, ruling in favor of the assessee. It concluded that the business was set up in the preceding year when the contract was signed and manufacturing activities were initiated, distinguishing between setting up and commencement of business. The decision highlighted the importance of correctly interpreting business establishment stages for tax implications and deduction eligibility, emphasizing that business setup determines deduction allowance, not necessarily income generation commencement. en-us Mon, 08 Sep 2014 00:00:00 +0530 Tue, 24 Feb 2015 16:58:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=253338 The Tribunal allowed the deduction of Rs. 3.17 crore in expenses for the assessment year 2007-08, ruling in favor of the assessee. It concluded that the business was set up in the preceding year when the contract was signed and manufacturing activities were initiated, distinguishing between setting up and commencement of business. The decision highlighted the importance of correctly interpreting business establishment stages for tax implications and deduction eligibility, emphasizing that business setup determines deduction allowance, not necessarily income generation commencement. Case-Laws Income Tax Mon, 08 Sep 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=253338