https://www.taxtmi.com/caselaws?id=189981 Litigation expenses incurred to protect an existing title to buses, route rights, or substituted shares were treated as revenue expenditure and deductible, because the proceedings preserved pre-existing business capital rather than acquired a new capital asset. Expenses for suits seeking further shares, or challenging salaries, bonuses, and directors' disqualification in another company, were not deductible because they related to acquisition of additional capital or were too remote from the assessee's own business. Expenses to restrain amendments to articles intended to oust the assessee as a shareholder were deductible, as they protected an existing investment and business interest. The controlling principle is that substance governs deductibility: preservation of an existing asset may be revenue in character, while acquisition of a new asset is capital. en-us Thu, 16 Nov 1961 00:00:00 +0530 Sat, 28 Jan 2017 12:56:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=189981 Litigation expenses incurred to protect an existing title to buses, route rights, or substituted shares were treated as revenue expenditure and deductible, because the proceedings preserved pre-existing business capital rather than acquired a new capital asset. Expenses for suits seeking further shares, or challenging salaries, bonuses, and directors' disqualification in another company, were not deductible because they related to acquisition of additional capital or were too remote from the assessee's own business. Expenses to restrain amendments to articles intended to oust the assessee as a shareholder were deductible, as they protected an existing investment and business interest. The controlling principle is that substance governs deductibility: preservation of an existing asset may be revenue in character, while acquisition of a new asset is capital. Case-Laws Income Tax Thu, 16 Nov 1961 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=189981