2008 (8) TMI 530

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....MENT The judgment of the court was delivered by Deepak Gupta J.- This appeal was admitted on the following substantial question of law : "1. Whether on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was right in law holding that the expenditure incurred on stamp duty and registration charges at the time of execution of lease agreement for taking on lease....

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....Madras, Kerala and Gujarat High Courts reported in  Sri Krishna Tiles and Potteries Madras (P.) Ltd.  v. CIT [1988] 173 ITR 311, Plantation Corporation of Kerala Ltd. v. Commr. of Agrl. I. T. [1994] 205 ITR 364 and Gujarat Machinery Mfg. Ltd. v. CIT [1995] 211 ITR 1010 contends that the amount spent as stamp duty and registration charges should be treated as revenue expenditure. The Com-....

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....e Karnataka High Court. It was held that irrespective of whether the incidental expenditure is incurred in or in connection with or related to capital expenditure the same has to be treated as revenue expenditure. 5. The Kerala High Court also took this view in Plantation Corporation's case [1994] 205 ITR 364 (Ker). The Gujarat High Court in Gujarat Machinery's case  [1995] 211 ITR 1010 de....