https://www.taxtmi.com/caselaws?id=26814 The High Court ruled in favor of the assessee, determining that the expenditure for technical know-how acquisition should be treated as revenue expenditure. The court upheld the classification of technical know-how as 'plant' for depreciation purposes, based on previous legal interpretations. The collaboration agreement aimed at acquiring technical information for product enhancement and new item manufacturing over a limited period, leading the court to conclude that such agreements constitute revenue expenditure. The court also emphasized that the form of payment, shares issued to the foreign company, does not change the nature of the payment. en-us Mon, 27 Feb 1984 00:00:00 +0530 Mon, 08 Feb 2010 16:31:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=26814 The High Court ruled in favor of the assessee, determining that the expenditure for technical know-how acquisition should be treated as revenue expenditure. The court upheld the classification of technical know-how as 'plant' for depreciation purposes, based on previous legal interpretations. The collaboration agreement aimed at acquiring technical information for product enhancement and new item manufacturing over a limited period, leading the court to conclude that such agreements constitute revenue expenditure. The court also emphasized that the form of payment, shares issued to the foreign company, does not change the nature of the payment. Case-Laws Income Tax Mon, 27 Feb 1984 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=26814