https://www.taxtmi.com/caselaws?id=19174 The High Court upheld the Tribunal's decision, allowing a payment made as technical assistance fees to be treated as revenue expenditure for deduction purposes. The Court emphasized the flexibility in distinguishing between capital and revenue expenditure, highlighting that the purpose and intended effect of the outlay should be considered. Referring to the Alembic case, the judgment concluded that the payment aimed at improving the existing business, making it revenue in nature and deductible in computing business profits. Justice D. M. Patnaik concurred, supporting the decision that the payment constituted revenue expenditure for enhancing current operations. en-us Fri, 07 Jul 1995 00:00:00 +0530 Wed, 04 Nov 2009 14:00:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=19174 The High Court upheld the Tribunal's decision, allowing a payment made as technical assistance fees to be treated as revenue expenditure for deduction purposes. The Court emphasized the flexibility in distinguishing between capital and revenue expenditure, highlighting that the purpose and intended effect of the outlay should be considered. Referring to the Alembic case, the judgment concluded that the payment aimed at improving the existing business, making it revenue in nature and deductible in computing business profits. Justice D. M. Patnaik concurred, supporting the decision that the payment constituted revenue expenditure for enhancing current operations. Case-Laws Income Tax Fri, 07 Jul 1995 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=19174