https://www.taxtmi.com/caselaws?id=11500 Replacement expenditure on ring frames was treated as revenue in nature because the components had become old, had no independent utility apart from the plant, and were replaced only to secure efficient functioning and prevent breakdowns without creating a new capital asset. On that basis, the amount was allowable under section 37. The corresponding deduction in computing book profits under section 115J was also upheld as a consequential result of the same characterisation of the expenditure, leaving the issue in favour of the assessee. en-us Wed, 09 Oct 2002 00:00:00 +0530 Tue, 11 Aug 2009 09:17:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=11500 Replacement expenditure on ring frames was treated as revenue in nature because the components had become old, had no independent utility apart from the plant, and were replaced only to secure efficient functioning and prevent breakdowns without creating a new capital asset. On that basis, the amount was allowable under section 37. The corresponding deduction in computing book profits under section 115J was also upheld as a consequential result of the same characterisation of the expenditure, leaving the issue in favour of the assessee. Case-Laws Income Tax Wed, 09 Oct 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=11500