https://www.taxtmi.com/caselaws?id=29658 The Supreme Court held that legal and court expenses incurred during an amalgamation process by a limited company should be considered revenue/business expenditure, not capital in nature. The expenses were allowed as a deduction, following the principle established in India Cements Ltd. v. CIT [1966] 60 ITR 52, where legal expenses for borrowing money were treated as revenue expenditure. The court distinguished this case from Sitalpur Sugar Works Ltd. v. CIT [1963] 49 ITR 160 (SC), emphasizing that the expenses were directly related to legal matters, not capital acquisition. The decision favored the assessee, allowing the claimed expenses as deductible. en-us Wed, 21 Oct 1981 00:00:00 +0530 Mon, 15 Mar 2010 13:45:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=29658 The Supreme Court held that legal and court expenses incurred during an amalgamation process by a limited company should be considered revenue/business expenditure, not capital in nature. The expenses were allowed as a deduction, following the principle established in India Cements Ltd. v. CIT [1966] 60 ITR 52, where legal expenses for borrowing money were treated as revenue expenditure. The court distinguished this case from Sitalpur Sugar Works Ltd. v. CIT [1963] 49 ITR 160 (SC), emphasizing that the expenses were directly related to legal matters, not capital acquisition. The decision favored the assessee, allowing the claimed expenses as deductible. Case-Laws Income Tax Wed, 21 Oct 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=29658