https://www.taxtmi.com/caselaws?id=24696 The High Court ruled in favor of the assessee, allowing the deduction claim for expenditure on replacing machinery. The court held that the expenditure was revenue in nature as it was necessary to fulfill lease obligations and maintain the machinery during the lease period, benefiting the lessor without resulting in enduring improvements to the factory. Citing legal precedents, the court emphasized that such expenditure is typically considered revenue expenditure. Judge Yusuf concurred with the decision, and no costs were awarded in the case. en-us Mon, 18 Jul 1988 00:00:00 +0530 Thu, 21 Jan 2010 17:07:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=24696 The High Court ruled in favor of the assessee, allowing the deduction claim for expenditure on replacing machinery. The court held that the expenditure was revenue in nature as it was necessary to fulfill lease obligations and maintain the machinery during the lease period, benefiting the lessor without resulting in enduring improvements to the factory. Citing legal precedents, the court emphasized that such expenditure is typically considered revenue expenditure. Judge Yusuf concurred with the decision, and no costs were awarded in the case. Case-Laws Income Tax Mon, 18 Jul 1988 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=24696