https://www.taxtmi.com/caselaws?id=15918 The High Court ruled in favor of the assessee, determining that the payment made to a foreign collaborator for technical know-how should be classified as a revenue expenditure rather than a capital expenditure. The court emphasized that the payment was for business purposes and not for acquiring an enduring asset, considering the rapid obsolescence of technical knowledge in the industry. By applying established legal tests and precedents, the court concluded that the expenditure was for the betterment of the existing business, leading to a decision in favor of the assessee. en-us Thu, 30 Apr 1998 00:00:00 +0530 Sat, 29 Aug 2009 18:18:31 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15918 The High Court ruled in favor of the assessee, determining that the payment made to a foreign collaborator for technical know-how should be classified as a revenue expenditure rather than a capital expenditure. The court emphasized that the payment was for business purposes and not for acquiring an enduring asset, considering the rapid obsolescence of technical knowledge in the industry. By applying established legal tests and precedents, the court concluded that the expenditure was for the betterment of the existing business, leading to a decision in favor of the assessee. Case-Laws Income Tax Thu, 30 Apr 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15918