https://www.taxtmi.com/caselaws?id=24906 Premium paid for obtaining a lease conferring exclusive rights to extract clay, together with renewal and sub-lease rights, was treated as consideration for acquiring an enduring leasehold interest in the capital field. It was therefore capital expenditure and not deductible as revenue expenditure. By contrast, stamp charges, registration fee and legal expenses incurred to complete the lease documentation were regarded as incidental outgoings connected with bringing the transaction into existence, but not as part of the capital cost of the leasehold right. Those ancillary expenses were held to be revenue expenditure and allowable in computing business income. en-us Tue, 01 Mar 1988 00:00:00 +0530 Sat, 23 Jan 2010 11:24:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=24906 Premium paid for obtaining a lease conferring exclusive rights to extract clay, together with renewal and sub-lease rights, was treated as consideration for acquiring an enduring leasehold interest in the capital field. It was therefore capital expenditure and not deductible as revenue expenditure. By contrast, stamp charges, registration fee and legal expenses incurred to complete the lease documentation were regarded as incidental outgoings connected with bringing the transaction into existence, but not as part of the capital cost of the leasehold right. Those ancillary expenses were held to be revenue expenditure and allowable in computing business income. Case-Laws Income Tax Tue, 01 Mar 1988 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=24906