https://www.taxtmi.com/caselaws?id=257915 Feasibility-study expenditure and capital work-in-progress relating to a proposed project that was later abandoned were held deductible in the year of write-off, because no enduring capital asset ever came into existence and the outlay was incurred wholly and exclusively for business purposes. The decisive factor was the year of abandonment: once the project was abandoned and the work-in-progress was not carried forward, the liability to claim the deduction arose in that year. The reasoning was stated to accord with the correspondence between section 10(2)(xv) of the Income-tax Act, 1922 and section 37(1) of the Income-tax Act, 1961. en-us Mon, 23 Mar 2015 00:00:00 +0530 Sat, 06 May 2017 16:22:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=257915 Feasibility-study expenditure and capital work-in-progress relating to a proposed project that was later abandoned were held deductible in the year of write-off, because no enduring capital asset ever came into existence and the outlay was incurred wholly and exclusively for business purposes. The decisive factor was the year of abandonment: once the project was abandoned and the work-in-progress was not carried forward, the liability to claim the deduction arose in that year. The reasoning was stated to accord with the correspondence between section 10(2)(xv) of the Income-tax Act, 1922 and section 37(1) of the Income-tax Act, 1961. Case-Laws Income Tax Mon, 23 Mar 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=257915