TaxTMI 
TaxTMI 
2007 (5) TMI 170
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....ed 16th June, 2006 passed by the Income Tax Appellate Tribunal, Delhi Bench "A" in ITA No.915/Del/1999, ITA No. 2389/Del/2000 and ITA No.4366/Del/2004 relevant for the assessment years 1995-96 to 1997-98. 2. The assessee carries on the business of manufacturing and production of CTD bars as also different types of iron rods. The assessee used to procure the raw material, that is, billets from the....
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....eferred an appeal before the Commissioner of Income Tax (Appeals) who accepted the view canvassed by the assessee to the effect that mere capitalization of the amount in its books would not bind the assessee. It was also held that the Steel Melting Shop was set up for production of raw material which was required by the assessee for its existing business and, therefore, it was clearly an expansion....
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....ssessee showed the amount as capital expenditure in its books would not mean that it was bound by that statement and that it could not file a revised return claiming the amount as a revenue expenditure incurred in connection with the expansion of its existing business. 7. What is to be considered for deciding whether there is an expansion of an existing business or not was before the Calcutta Hig....
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.... same line of business. It was held that the expenditure was unmistakably connected with the running of an existing business. 8. In Commissioner of Income Tax v. Goodyear India Ltd., (2000) 243 ITR 239, a Division Bench of this Court relied upon Jonas Woodhead and Sons (India) Ltd. v. Commissioner of Income Tax, (1997) 224 ITR 342 and concluded that it is now well settled that when expenditure is....