https://www.taxtmi.com/caselaws?id=24188 The Court held that the excess payment made due to exchange rate fluctuations in the purchase of machinery should be classified as capital expenditure for the assessment year 1975-76. The Court emphasized that since the original machinery purchase cost was capital expenditure, any additional payment resulting from exchange rate fluctuations should also be considered capital in nature. The decision was based on established legal precedents and the principle that any accretion to the original capital expenditure should be treated as capital expenditure. Consequently, the Court ruled in favor of the Revenue, disallowing the excess payment as revenue expenditure. en-us Tue, 24 Jan 1989 00:00:00 +0530 Mon, 18 Jan 2010 13:09:33 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=24188 The Court held that the excess payment made due to exchange rate fluctuations in the purchase of machinery should be classified as capital expenditure for the assessment year 1975-76. The Court emphasized that since the original machinery purchase cost was capital expenditure, any additional payment resulting from exchange rate fluctuations should also be considered capital in nature. The decision was based on established legal precedents and the principle that any accretion to the original capital expenditure should be treated as capital expenditure. Consequently, the Court ruled in favor of the Revenue, disallowing the excess payment as revenue expenditure. Case-Laws Income Tax Tue, 24 Jan 1989 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=24188