https://www.taxtmi.com/caselaws?id=187560 Whether payments under three forest leases qualified as deductions under section 10(2)(xv) was resolved by treating the payments as capital outlay where leases conferred enduring proprietary rights. The court applied the principle that rights to allow standing produce to continue growth, to graze, erect works, establish factories and sublet indicate acquisition of an interest in land rather than purchase of consumable goods; where the lessee's removal right is not coextensive with the lease and benefits from future growth accrue to the lessee, the payment is capital and not deductible as revenue expenditure. en-us Tue, 22 May 1962 00:00:00 +0530 Wed, 26 Oct 2016 18:17:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=187560 Whether payments under three forest leases qualified as deductions under section 10(2)(xv) was resolved by treating the payments as capital outlay where leases conferred enduring proprietary rights. The court applied the principle that rights to allow standing produce to continue growth, to graze, erect works, establish factories and sublet indicate acquisition of an interest in land rather than purchase of consumable goods; where the lessee's removal right is not coextensive with the lease and benefits from future growth accrue to the lessee, the payment is capital and not deductible as revenue expenditure. Case-Laws Income Tax Tue, 22 May 1962 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=187560