https://www.taxtmi.com/caselaws?id=9488 The court determined that the expenditure on technical know-how was revenue expenditure, not capital, as it did not result in enduring benefits or a permanent transfer of assets. The agreement was for a limited period, the know-how only modified existing machinery, and the provider had no patented rights in India. Relying on precedents, the court held that the payment was akin to revenue expenditure, aligning with business realities and distinguishing the case from those involving enduring benefits. Consequently, the decision favored the assessee over the Revenue. en-us Tue, 09 Aug 2005 00:00:00 +0530 Tue, 23 Jun 2009 11:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=9488 The court determined that the expenditure on technical know-how was revenue expenditure, not capital, as it did not result in enduring benefits or a permanent transfer of assets. The agreement was for a limited period, the know-how only modified existing machinery, and the provider had no patented rights in India. Relying on precedents, the court held that the payment was akin to revenue expenditure, aligning with business realities and distinguishing the case from those involving enduring benefits. Consequently, the decision favored the assessee over the Revenue. Case-Laws Income Tax Tue, 09 Aug 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=9488