https://www.taxtmi.com/caselaws?id=60190 Travelling expenses incurred to explore foreign collaboration for a proposed new manufacturing unit were held to be capital in nature because they were directed toward bringing into existence a new business line, not carrying on the existing business. No collaboration agreement was reached, the licence application was rejected, and the proposed manufacturing activity never commenced. The disallowance was therefore upheld as the expenditure was not allowable as revenue expenditure. en-us Tue, 27 Jan 1981 00:00:00 +0530 Tue, 04 Jan 2011 11:55:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=60190 Travelling expenses incurred to explore foreign collaboration for a proposed new manufacturing unit were held to be capital in nature because they were directed toward bringing into existence a new business line, not carrying on the existing business. No collaboration agreement was reached, the licence application was rejected, and the proposed manufacturing activity never commenced. The disallowance was therefore upheld as the expenditure was not allowable as revenue expenditure. Case-Laws Income Tax Tue, 27 Jan 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=60190