https://www.taxtmi.com/caselaws?id=14846 Urban land tax and corporation tax paid in respect of land are not deductible under section 48 of the Income-tax Act, 1961 when computing short-term capital gains. Section 48 allows only expenditure wholly and exclusively connected with transfer, cost of acquisition, and cost of improvement; these taxes do not fall within any of those categories and are merely holding costs. They also do not become part of acquisition cost merely because they are borne by the assessee. The issue was decided against the assessee and in favour of the Revenue. en-us Mon, 26 Oct 1998 00:00:00 +0530 Thu, 23 Jul 2009 16:05:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=14846 Urban land tax and corporation tax paid in respect of land are not deductible under section 48 of the Income-tax Act, 1961 when computing short-term capital gains. Section 48 allows only expenditure wholly and exclusively connected with transfer, cost of acquisition, and cost of improvement; these taxes do not fall within any of those categories and are merely holding costs. They also do not become part of acquisition cost merely because they are borne by the assessee. The issue was decided against the assessee and in favour of the Revenue. Case-Laws Income Tax Mon, 26 Oct 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=14846