https://www.taxtmi.com/caselaws?id=6499 The Supreme Court held that the money contributed by a public limited company for the construction of a new road near its factory constituted capital expenditure. Despite the company's argument for deducting it as revenue expenditure, the Court emphasized the enduring benefit gained from the road construction, aligning with the distinction between capital and revenue expenditure based on acquiring assets for long-term business advantage. The voluntary nature of the expenditure and the lasting advantage it conferred led the Court to classify it as capital expenditure, dismissing the appeal and affirming the enduring benefit as a crucial factor in the expenditure's classification. en-us Fri, 21 Jan 1977 00:00:00 +0530 Wed, 04 May 2016 15:52:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=6499 The Supreme Court held that the money contributed by a public limited company for the construction of a new road near its factory constituted capital expenditure. Despite the company's argument for deducting it as revenue expenditure, the Court emphasized the enduring benefit gained from the road construction, aligning with the distinction between capital and revenue expenditure based on acquiring assets for long-term business advantage. The voluntary nature of the expenditure and the lasting advantage it conferred led the Court to classify it as capital expenditure, dismissing the appeal and affirming the enduring benefit as a crucial factor in the expenditure's classification. Case-Laws Income Tax Fri, 21 Jan 1977 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=6499