https://www.taxtmi.com/caselaws?id=406759 For income-tax purposes, a business is set up when it is ready to commence operations, not only when actual commencement is permitted by regulatory approval. Preparatory steps such as appointing personnel, training, taking premises on lease, establishing offices, and applying for the licence were sufficient to show readiness to operate an insurance broking business. Delay by the statutory authority in issuing the IRDA licence could not postpone the setting-up date or convert the intervening expenditure into pre-operative capital expenditure. The expenditure incurred before the licence was granted was therefore allowable as business expenditure and not liable to capitalisation. en-us Mon, 12 Apr 2021 00:00:00 +0530 Tue, 13 Jul 2021 17:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=406759 For income-tax purposes, a business is set up when it is ready to commence operations, not only when actual commencement is permitted by regulatory approval. Preparatory steps such as appointing personnel, training, taking premises on lease, establishing offices, and applying for the licence were sufficient to show readiness to operate an insurance broking business. Delay by the statutory authority in issuing the IRDA licence could not postpone the setting-up date or convert the intervening expenditure into pre-operative capital expenditure. The expenditure incurred before the licence was granted was therefore allowable as business expenditure and not liable to capitalisation. Case-Laws Income Tax Mon, 12 Apr 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=406759