1978 (1) TMI 38

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....livered by SATISH CHANDRA J.-During the accounting year relevant to the assessment year 1965-66, the assessee spent a sum of Rs. 17,440 for erecting a gate in the Gandhi Garden at Meerut and installing a statue of late Jugmandar Dass Jain, who was the founder-director of the assessee-company. The garden where the statue was installed belonged to the Cantonment Board, Meerut Cantt. The assessee ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... the statue in the garden. In the third place, it concluded that even if it is assumed that the erection of the statue was made for the business needs of the assessee, by making the gate in the garden and installing a statue in the garden, the assessee sought to gain an advantage of an enduring nature and when the expenditure is incurred for bringing into existence an advantage of enduring nature ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ove clearly show that there was really no commercial expediency for incurring this expenditure. The expenditure appears to be more for perpetuating the memory of the founder-director of the assessee. Even if it be assumed that the expenditure led to an enhancement of the goodwill of the company then it was an advantage of an enduring nature which will go to appreciate the capital assets of the ass....