https://www.taxtmi.com/caselaws?id=788128 Royalty paid for use of a brand/logo is deductible as business expenditure where the licence and use are established and the payment is incurred wholly and exclusively for business; the logo royalty claim is allowed. Adjustment for undervaluation of closing stock is deleted based on consistent valuation method and corresponding opening-stock treatment. A capital subsidy granted as an incentive and credited to capital reserve is treated as a capital receipt and need not reduce asset cost under Explanation 10. Interest under sections 234B/C/D is treated as consequential. Revenue appeals fail under the CBDT tax effect threshold. en-us Fri, 13 Mar 2026 00:00:00 +0530 Tue, 17 Mar 2026 08:23:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=788128 Royalty paid for use of a brand/logo is deductible as business expenditure where the licence and use are established and the payment is incurred wholly and exclusively for business; the logo royalty claim is allowed. Adjustment for undervaluation of closing stock is deleted based on consistent valuation method and corresponding opening-stock treatment. A capital subsidy granted as an incentive and credited to capital reserve is treated as a capital receipt and need not reduce asset cost under Explanation 10. Interest under sections 234B/C/D is treated as consequential. Revenue appeals fail under the CBDT tax effect threshold. Case-Laws Income Tax Fri, 13 Mar 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=788128