2011 (4) TMI 1290

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....nd did not qualify as current repairs. The brief facts are that the assessee incurred the following expenditure and claimed the same as deduction on account of repairs: - Sr. No. Name of the billing party Nature of work Amount (Rs.) 1. C Bhogilal West End Purchase of Tiles 77,011/- 2. Constrocare Concrete Therapy Purchase of Laticrate 37,156/- 3. Real Marble Traders & Contractors Purchase of granite 22,920/-     Total 1,37,087/-   Sr. No. Name of the billing party Nature of work Amount (Rs.) 1. Anupam Aluminium & Hardware Aluminium Sections 1,97,091/-     Total 1,97,091/- While completing the assessment under sectio....

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.... that no additional space was created and the entire expenditure was only on account of routine repairs to the windows and to the existing toilet facilities to the workmen. 4. On a careful consideration of the rival contentions we are of the view that so far as the purchase of aluminium sections for Rs. 1,97,091/- is concerned, the expenditure cannot be considered as capital expenditure. It is nobody's case that by incurring the expenditure the assessee has created additional space. The explanation of the assessee that the aluminium sections were used for the sliding windows seems plausible. Even if it is assumed that the existing doors of the windows were replaced by sliding windows with aluminium frames, it cannot be said that a new as....

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....nal in the case of ACIT vs. Bhaumik Colour P. Ltd. (2009) 313 ITR (AT) 146 (Mum) (SB) that in order to attract the applicability of section 2(22)(e) the recipient of the amount from the company has to be a registered shareholder of the company. In the present case the following credit balances were shown in the assessee's account in the following companies: - (i) M/s Bhavin Containers P. Ltd. Rs. 38,75,412/- (ii) M/s Patel Aluminium Pvt. Ltd. Rs. 93,978/- (iii) M/s Lans Metal Pvt. Ltd. Rs. 28,94,357/- (iv) M/s Patcart Packaging Pvt. Ltd. Rs. 44,31,466/- The finding of the CIT(A) is that the assessee is not a shareholder in any of the aforesaid companies. According to the Assessing Officer, one M I Pate....