2006 (3) TMI 536

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....he relevant assessment year is 1997-98. The appeal is directed against the order passed by the CIT(A)-II at Mumbai on 21-1-2003 and arises out of the assessment completed under section 143(3) of the Income-tax Act, 1961. 2. We heard Shri AK Singh, the learned departmental representative appearing for the Revenue and Shri FB Andhyarujina, the learned senior counsel for the respondent-assessee. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... case was fought by the assessee to safeguard its interest in the said brand name and thereby to protect its business necessities. He held that the brand in dispute is intimately connected with the business activity carried on by the assessee and in the light of the decisions of the Bombay High Court in the case of CIT v. Investment Corpn. of India Ltd. 137 ITR 307 and Ibrahim Aboobaker v. CIT 81 ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e case of Ibrahim Aboobaker 81 ITR 664 has held that the expenditure incurred for the preservation of the entire business as an entity and for defending against a claim of hostile title or against nationalization must be construed to be an expenditure incurred "for the purposes of business" which is deductible as revenue expenditure. The Supreme Court in the case of Dalmia Jain & Co. Ltd. 81 ITR 7....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....business is a revenue expenditure, deductible in computation of the taxable income. Therefore, we find no merit in the ground raised by the Revenue and it is accordingly rejected. 6. The second ground raised by the Revenue is that the CIT(A) has treated the loss on sale of shares as business loss whereas it should have been treated as speculative loss as the business carried on by the assessee ....