https://www.taxtmi.com/caselaws?id=24440 The High Court of Kerala held that the expenditure incurred by the assessee on modernizing machinery by replacing worn out parts is allowable as revenue expenditure for the assessment years 1974-75, 1978-79, and 1979-80. The court found that the expenditure was for ensuring efficient functioning and not for creating new assets, in line with a Supreme Court decision. The court dismissed the Revenue's appeals, concluding that no referable question of law arose. en-us Mon, 09 Jan 1989 00:00:00 +0530 Wed, 20 Jan 2010 10:46:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=24440 The High Court of Kerala held that the expenditure incurred by the assessee on modernizing machinery by replacing worn out parts is allowable as revenue expenditure for the assessment years 1974-75, 1978-79, and 1979-80. The court found that the expenditure was for ensuring efficient functioning and not for creating new assets, in line with a Supreme Court decision. The court dismissed the Revenue's appeals, concluding that no referable question of law arose. Case-Laws Income Tax Mon, 09 Jan 1989 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=24440