https://www.taxtmi.com/caselaws?id=49686 Annual protection fees paid under lease clauses securing exclusive protection against competition in mining areas were treated as capital expenditure because they enhanced the business's enduring profit-yielding structure rather than meeting ordinary operating costs. The governing test was the real character of the advantage obtained: periodic payment did not make the outlay revenue in nature if it secured an enduring benefit for the business as a whole. On that basis, the fees were not allowable deductions under section 10(2)(xv) of the Indian Income-tax Act, 1922. en-us Thu, 11 Nov 1954 00:00:00 +0530 Tue, 09 Sep 2014 09:18:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=49686 Annual protection fees paid under lease clauses securing exclusive protection against competition in mining areas were treated as capital expenditure because they enhanced the business's enduring profit-yielding structure rather than meeting ordinary operating costs. The governing test was the real character of the advantage obtained: periodic payment did not make the outlay revenue in nature if it secured an enduring benefit for the business as a whole. On that basis, the fees were not allowable deductions under section 10(2)(xv) of the Indian Income-tax Act, 1922. Case-Laws Income Tax Thu, 11 Nov 1954 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=49686