https://www.taxtmi.com/caselaws?id=25095 Bonus paid above the statutory minimum for the pre-takeover period was capital expenditure where the liability had been treated as part of the consideration for acquiring the business. The payment was incurred to obtain the business itself, not in the course of carrying it on for profit, so it retained the character of acquisition cost rather than a revenue outgoing. Accordingly, the excess bonus relating to the period before takeover was not allowable as a revenue deduction. en-us Thu, 26 Nov 1987 00:00:00 +0530 Mon, 25 Jan 2010 13:08:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=25095 Bonus paid above the statutory minimum for the pre-takeover period was capital expenditure where the liability had been treated as part of the consideration for acquiring the business. The payment was incurred to obtain the business itself, not in the course of carrying it on for profit, so it retained the character of acquisition cost rather than a revenue outgoing. Accordingly, the excess bonus relating to the period before takeover was not allowable as a revenue deduction. Case-Laws Income Tax Thu, 26 Nov 1987 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=25095