https://www.taxtmi.com/caselaws?id=7381 Expenditure on linen, blankets and uniforms acquired at the commencement of a hotel business was capital in nature because it formed part of the initial equipment of the income-earning apparatus, not a recurring revenue outlay, and the method of accounting could not change that character. Licence fees from stall-holders had accrued in full during the accounting year because no enforceable arrangement reducing them existed at that time; later resolutions and book entries did not defeat accrual. An amount written off as a likely reduction in licence fees could not be excluded where the income had already arisen, so the sum remained taxable. en-us Mon, 12 Aug 1968 00:00:00 +0530 Thu, 19 Feb 2009 09:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7381 Expenditure on linen, blankets and uniforms acquired at the commencement of a hotel business was capital in nature because it formed part of the initial equipment of the income-earning apparatus, not a recurring revenue outlay, and the method of accounting could not change that character. Licence fees from stall-holders had accrued in full during the accounting year because no enforceable arrangement reducing them existed at that time; later resolutions and book entries did not defeat accrual. An amount written off as a likely reduction in licence fees could not be excluded where the income had already arisen, so the sum remained taxable. Case-Laws Income Tax Mon, 12 Aug 1968 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7381