https://www.taxtmi.com/caselaws?id=8108 Litigation expenses incurred in defending evacuee proceedings against the business carried on at the Imperial Cinema were treated as business expenditure, because the proceedings concerned the declaration of property under the Administration of Evacuee Property Act, 1950 and were directed to the business asset itself, not merely the person of the evacuee. The Court rejected the view that such legal costs were necessarily personal and applied the principle that expenditure to preserve a business as an entity, or to defend its title against a hostile claim, is incurred for business purposes. The expenses connected with defending the continued existence and ownership of the cinema business were therefore deductible under section 10(2)(xv). en-us Mon, 09 Feb 1970 00:00:00 +0530 Sat, 28 Mar 2009 17:26:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=8108 Litigation expenses incurred in defending evacuee proceedings against the business carried on at the Imperial Cinema were treated as business expenditure, because the proceedings concerned the declaration of property under the Administration of Evacuee Property Act, 1950 and were directed to the business asset itself, not merely the person of the evacuee. The Court rejected the view that such legal costs were necessarily personal and applied the principle that expenditure to preserve a business as an entity, or to defend its title against a hostile claim, is incurred for business purposes. The expenses connected with defending the continued existence and ownership of the cinema business were therefore deductible under section 10(2)(xv). Case-Laws Income Tax Mon, 09 Feb 1970 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=8108