https://www.taxtmi.com/caselaws?id=178439 Licence fee paid for use of the Government telecom network was held to be revenue expenditure, because its real character was consideration for an essential business facility used in carrying on international telecommunication services. The payment did not secure an asset or right of enduring nature, and the licence remained revocable, so it was deductible as business expenditure under section 37(1) of the Income-tax Act, 1961. Its description, revenue-linked computation, or earlier treatment did not change the commercial substance of the outgoing, and it was not capital expenditure or an appropriation of profits. en-us Thu, 14 Sep 2000 00:00:00 +0530 Thu, 04 Feb 2016 18:33:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=178439 Licence fee paid for use of the Government telecom network was held to be revenue expenditure, because its real character was consideration for an essential business facility used in carrying on international telecommunication services. The payment did not secure an asset or right of enduring nature, and the licence remained revocable, so it was deductible as business expenditure under section 37(1) of the Income-tax Act, 1961. Its description, revenue-linked computation, or earlier treatment did not change the commercial substance of the outgoing, and it was not capital expenditure or an appropriation of profits. Case-Laws Income Tax Thu, 14 Sep 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=178439