2018 (10) TMI 854

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....houdhary Arunkumar Singh- DR ORDER PER SHAMIM YAHYA, ACCOUNTANT MEMBER: This appeal by the assessee is directed against order of learned CIT-A dated 24/11/206 and pertains to assessment year 2012-12. The grounds of appeal read as under :- "The following grounds of appeal are without prejudice to one another:- 1. On the facts and circumstances of the appellant's case and in law the Ld....

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.... are recurring nature expenses, hence revenue expenditure. Such repairs and maintenance does not enhance the life of the assets, hence cannot be capitalized. This explanation of the assessee had not been accepted by Assessing Officer in respect of repairing related to existing 76 make-up rooms amounting to Rs. 1,65,41,993/-. According to Assessing Officer the expenses have been claimed as revenue ....

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....acement of doors and windows, waterproofing treatment, providing cement plaster etc. Ld. CIT(A) found that these expenses have been incurred for upgradation, by renovating the existing make-up rooms. Ld. CIT-A held that such up-gradation, replacement and renovation will have enduring benefit. He further held that if there are extensive repairs they cannot be treated as current repairs. 4.Against ....

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....ent etc . In our considered opinion these expenditure cannot be said to be capital in nature and hence they are duly qualified for revenue expenditure. We draw support from following case laws in this regard. 5.2. Hon'ble Jurisdictional High Court in the case of CIT vs. Oxford University Press (108 ITR 166) has expounded that the test for judging the nature of capital or revenue expenditure is to....