https://www.taxtmi.com/caselaws?id=19025 The High Court concluded that the compensation paid by the assessee to S. Zoraster and Co. was a capital expenditure and not allowable as business expenditure under Section 37 of the Income-tax Act. The court held that the expenditure was related to the non-fulfillment of a contract for acquiring a capital asset (cinema building) and was of a capital nature intended for business asset acquisition. Consequently, the court ruled in favor of the Revenue and against the assessee, denying the allowance of the compensation as business expenditure. en-us Fri, 31 Mar 1995 00:00:00 +0530 Tue, 03 Nov 2009 14:53:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=19025 The High Court concluded that the compensation paid by the assessee to S. Zoraster and Co. was a capital expenditure and not allowable as business expenditure under Section 37 of the Income-tax Act. The court held that the expenditure was related to the non-fulfillment of a contract for acquiring a capital asset (cinema building) and was of a capital nature intended for business asset acquisition. Consequently, the court ruled in favor of the Revenue and against the assessee, denying the allowance of the compensation as business expenditure. Case-Laws Income Tax Fri, 31 Mar 1995 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=19025