https://www.taxtmi.com/caselaws?id=15632 Whether expenditure on replacement of moulds used in manufacturing constituted capital or revenue was determined by applying the principle that "enduring benefit" is not conclusive for capitalisation, and that replacement of parts of existing machinery in the ordinary course of operations is generally revenue. On the Tribunal's unchallenged factual finding that the moulds were merely replacements for moulds damaged during manufacture and did not enhance the capacity of the existing machinery, the expenditure was held to be revenue in nature. Consequently, the HC found no infirmity in the refusal to refer the proposed question and dismissed the revenue's petition. en-us Wed, 18 Aug 1999 00:00:00 +0530 Thu, 01 Jan 2026 10:18:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15632 Whether expenditure on replacement of moulds used in manufacturing constituted capital or revenue was determined by applying the principle that "enduring benefit" is not conclusive for capitalisation, and that replacement of parts of existing machinery in the ordinary course of operations is generally revenue. On the Tribunal's unchallenged factual finding that the moulds were merely replacements for moulds damaged during manufacture and did not enhance the capacity of the existing machinery, the expenditure was held to be revenue in nature. Consequently, the HC found no infirmity in the refusal to refer the proposed question and dismissed the revenue's petition. Case-Laws Income Tax Wed, 18 Aug 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15632