https://www.taxtmi.com/caselaws?id=185446 Expenditure incurred to secure a business loan was treated as capital expenditure where the borrowing created an enduring advantage for the business and was incurred once and for all. The allowance under section 10(2)(xv) depended on whether the payment was laid out wholly and exclusively for business and whether its true character was capital or revenue. On the stated facts, part of the borrowed funds discharged capital liabilities and there was no material to support the claim that the balance was working capital. The loan-raising expenses were therefore not deductible in computing business profits. en-us Tue, 31 Oct 1961 00:00:00 +0530 Fri, 12 Aug 2016 18:24:55 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=185446 Expenditure incurred to secure a business loan was treated as capital expenditure where the borrowing created an enduring advantage for the business and was incurred once and for all. The allowance under section 10(2)(xv) depended on whether the payment was laid out wholly and exclusively for business and whether its true character was capital or revenue. On the stated facts, part of the borrowed funds discharged capital liabilities and there was no material to support the claim that the balance was working capital. The loan-raising expenses were therefore not deductible in computing business profits. Case-Laws Income Tax Tue, 31 Oct 1961 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=185446