https://www.taxtmi.com/caselaws?id=20805 Pre-production expenditure incurred before a factory is set up, including trial expenses, interest and legal charges, forms part of the capital cost when it is integrally connected with bringing the asset into existence and making it ready for use. Applying the binding Supreme Court view, the contrary contention that such expenditure should be treated as revenue was rejected. The capitalised amount was therefore eligible for depreciation and development rebate under the Income-tax Act, 1961, and the question was answered in favour of the assessee. en-us Wed, 27 Jan 1993 00:00:00 +0530 Tue, 17 Nov 2009 12:58:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=20805 Pre-production expenditure incurred before a factory is set up, including trial expenses, interest and legal charges, forms part of the capital cost when it is integrally connected with bringing the asset into existence and making it ready for use. Applying the binding Supreme Court view, the contrary contention that such expenditure should be treated as revenue was rejected. The capitalised amount was therefore eligible for depreciation and development rebate under the Income-tax Act, 1961, and the question was answered in favour of the assessee. Case-Laws Income Tax Wed, 27 Jan 1993 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=20805