https://www.taxtmi.com/caselaws?id=13894 Commission paid to secure office premises was treated as capital expenditure, not deductible rent or revenue outlay, because it was consideration for obtaining the premises rather than a recurring payment for their continued use. Drawing the distinction under section 105 of the Transfer of Property Act, 1882, the analysis states that premium or salami is a capital payment made for parting with an interest in property, while rent is a periodical payment for enjoyment of the premises during the lease term. On those principles, the payment was held to be in the nature of premium and not an admissible business deduction as rent. en-us Mon, 06 Aug 2001 00:00:00 +0530 Sat, 04 Jul 2009 17:22:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=13894 Commission paid to secure office premises was treated as capital expenditure, not deductible rent or revenue outlay, because it was consideration for obtaining the premises rather than a recurring payment for their continued use. Drawing the distinction under section 105 of the Transfer of Property Act, 1882, the analysis states that premium or salami is a capital payment made for parting with an interest in property, while rent is a periodical payment for enjoyment of the premises during the lease term. On those principles, the payment was held to be in the nature of premium and not an admissible business deduction as rent. Case-Laws Income Tax Mon, 06 Aug 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=13894