https://www.taxtmi.com/caselaws?id=17470 The High Court upheld the decision that payments made for liquidated damages due to non-operation of leased mines were capital expenditures, not eligible for deduction. The court emphasized that the expenditure was related to acquiring assets, not operational activities, as the assessee was in the business of screening and selling iron ore, not mining. Therefore, the court ruled in favor of the Revenue, denying the deduction claim and affirming the capital nature of the expenditure. en-us Wed, 26 Mar 1997 00:00:00 +0530 Tue, 22 Sep 2009 15:33:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17470 The High Court upheld the decision that payments made for liquidated damages due to non-operation of leased mines were capital expenditures, not eligible for deduction. The court emphasized that the expenditure was related to acquiring assets, not operational activities, as the assessee was in the business of screening and selling iron ore, not mining. Therefore, the court ruled in favor of the Revenue, denying the deduction claim and affirming the capital nature of the expenditure. Case-Laws Income Tax Wed, 26 Mar 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17470