2002 (1) TMI 50

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e following question for the opinion of this court: "Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the payment of annual lease to the company in lieu of transfer of assets is not an expense of capital nature?" The assessee is a registered firm. It filed its return of income for the assessment year 1978-79. It had taken over the busines....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the Tribunal is not tenable. The contention raised by counsel cannot be accepted. It has been found as a fact that the assessee had paid an amount of Rs.1 lakh to Metro Motors Private Limited "as goodwill". Still further, nothing has been produced on record to show that there was any payment except the annual lease money of Rs.5,000 for transfer of assets. In fact, the Tribunal has rightly found....