https://www.taxtmi.com/caselaws?id=55102 The Appellate Tribunal affirmed the decision of the CIT (Appeals) to allow the deduction of Rs.30,000 as a business loss for the forfeiture of a deposit paid against purchasing machinery. The Tribunal held that the forfeiture was a business decision made for commercial gain, emphasizing the concept of business expediency and commercial interest. The judgment highlights the importance of distinguishing between capital and revenue expenditure and the relevance of business expediency in determining allowable deductions for losses incurred in the course of business operations. en-us Tue, 18 Aug 1981 00:00:00 +0530 Wed, 24 Nov 2010 11:10:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=55102 The Appellate Tribunal affirmed the decision of the CIT (Appeals) to allow the deduction of Rs.30,000 as a business loss for the forfeiture of a deposit paid against purchasing machinery. The Tribunal held that the forfeiture was a business decision made for commercial gain, emphasizing the concept of business expediency and commercial interest. The judgment highlights the importance of distinguishing between capital and revenue expenditure and the relevance of business expediency in determining allowable deductions for losses incurred in the course of business operations. Case-Laws Income Tax Tue, 18 Aug 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=55102