https://www.taxtmi.com/caselaws?id=23301 Barbed wire fencing expenditure for factory premises was treated as revenue expenditure because it was incurred to secure and regulate the business premises and facilitate smooth operations, without bringing into existence an asset in the capital field or altering fixed capital. Applying the commercial test, the relevant enquiry is whether the outlay creates a capital advantage or merely enables efficient conduct of business; a mere enduring benefit is not decisive. The expenditure was therefore allowable as revenue in nature. en-us Tue, 06 Dec 1988 00:00:00 +0530 Fri, 18 Dec 2009 12:04:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=23301 Barbed wire fencing expenditure for factory premises was treated as revenue expenditure because it was incurred to secure and regulate the business premises and facilitate smooth operations, without bringing into existence an asset in the capital field or altering fixed capital. Applying the commercial test, the relevant enquiry is whether the outlay creates a capital advantage or merely enables efficient conduct of business; a mere enduring benefit is not decisive. The expenditure was therefore allowable as revenue in nature. Case-Laws Income Tax Tue, 06 Dec 1988 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=23301