https://www.taxtmi.com/caselaws?id=367358 The Madras High Court dismissed the appeals regarding the treatment of software expenditure for the Assessment Year 2000-01 and 2001-02, holding that the expenditure should be treated as revenue rather than capital. The court emphasized the rapid obsolescence of software, its off-the-shelf nature, and the necessity for operational activities. Drawing a distinction from a Delhi High Court case, the court ruled in favor of the assessee, citing the principle that not all enduring benefits lead to capital expenditure disallowance. The appeals were dismissed, and no costs were awarded. en-us Tue, 24 Jul 2018 00:00:00 +0530 Wed, 19 Sep 2018 07:50:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=367358 The Madras High Court dismissed the appeals regarding the treatment of software expenditure for the Assessment Year 2000-01 and 2001-02, holding that the expenditure should be treated as revenue rather than capital. The court emphasized the rapid obsolescence of software, its off-the-shelf nature, and the necessity for operational activities. Drawing a distinction from a Delhi High Court case, the court ruled in favor of the assessee, citing the principle that not all enduring benefits lead to capital expenditure disallowance. The appeals were dismissed, and no costs were awarded. Case-Laws Income Tax Tue, 24 Jul 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=367358