https://www.taxtmi.com/caselaws?id=16239 Subsidy classification depends on its purpose: if the grant is intended to enable an assessee to set up or complete a project, it is capital in nature, while a subsidy meant to support business operations after commencement of production is revenue in nature. The record lacked a clear finding on whether the Government subsidy was given for establishing a new unit or for assisting ongoing operations, so the factual basis needed to answer the reference was absent. The question was therefore returned unanswered and the matter was remitted to the Appellate Tribunal for a specific finding on the subsidy's purpose and fresh disposal of the appeal. en-us Fri, 31 Jul 1998 00:00:00 +0530 Fri, 04 Sep 2009 16:35:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=16239 Subsidy classification depends on its purpose: if the grant is intended to enable an assessee to set up or complete a project, it is capital in nature, while a subsidy meant to support business operations after commencement of production is revenue in nature. The record lacked a clear finding on whether the Government subsidy was given for establishing a new unit or for assisting ongoing operations, so the factual basis needed to answer the reference was absent. The question was therefore returned unanswered and the matter was remitted to the Appellate Tribunal for a specific finding on the subsidy's purpose and fresh disposal of the appeal. Case-Laws Income Tax Fri, 31 Jul 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=16239