https://www.taxtmi.com/caselaws?id=37423 The High Court of Madras upheld the Tribunal's decision, allowing a private limited company engaged in bus transport business to claim a deduction for losses in the purchase and sale of Government bonds under section 37(1) of the Income Tax Act. The court found the loss was incurred in line with accepted commercial practice and to prevent further losses, ruling in favor of the assessee and awarding costs. The judgment emphasized that the expenditure should be wholly and exclusively for the purpose of the business and not in the nature of capital expenditure, affirming the deductibility of the loss. en-us Mon, 13 Mar 1978 00:00:00 +0530 Mon, 29 Mar 2010 15:51:36 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=37423 The High Court of Madras upheld the Tribunal's decision, allowing a private limited company engaged in bus transport business to claim a deduction for losses in the purchase and sale of Government bonds under section 37(1) of the Income Tax Act. The court found the loss was incurred in line with accepted commercial practice and to prevent further losses, ruling in favor of the assessee and awarding costs. The judgment emphasized that the expenditure should be wholly and exclusively for the purpose of the business and not in the nature of capital expenditure, affirming the deductibility of the loss. Case-Laws Income Tax Mon, 13 Mar 1978 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=37423