https://www.taxtmi.com/caselaws?id=15187 The court held that the Indian company did not carry on any business in Malaysia as there was no joint venture agreement with the Malaysian company. Consequently, all claims related to business expenditure, preliminary expenses, exchange loss, standing guarantee loss, and other business-related matters were decided against the company. The court disallowed deductions for preliminary expenses, exchange loss, and other expenditures not directly related to the company's business. The penalty imposed by the Reserve Bank of India was deemed capital in nature and not deductible. The court also rejected the claim for royalty written off as a bad debt. Ultimately, the court ruled against the company on all issues without awarding costs. en-us Thu, 23 Apr 1998 00:00:00 +0530 Mon, 03 Aug 2009 15:49:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15187 The court held that the Indian company did not carry on any business in Malaysia as there was no joint venture agreement with the Malaysian company. Consequently, all claims related to business expenditure, preliminary expenses, exchange loss, standing guarantee loss, and other business-related matters were decided against the company. The court disallowed deductions for preliminary expenses, exchange loss, and other expenditures not directly related to the company's business. The penalty imposed by the Reserve Bank of India was deemed capital in nature and not deductible. The court also rejected the claim for royalty written off as a bad debt. Ultimately, the court ruled against the company on all issues without awarding costs. Case-Laws Income Tax Thu, 23 Apr 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15187