Alembic Chemical Works Co. Ltd. v. CIT

177 ITR 377Supreme Court of India1989#288 most cited

What is Alembic Chemical Works Co. Ltd. v. CIT authority for?

Expenditure that provides a commercial advantage of an enduring nature may still be classified as revenue expenditure if its purpose is to facilitate existing trading operations, improve business efficiency, or upgrade existing products, depending on the specific context and objective.

275

judgments rely on this decision, according to BharatTax’s citation analysis of 367,714 Indian tax judgments — from 2008 to 2026.

Also referred to as

Alembic Chemical Works Co. Ltd. v. CIT · Section 37(1) · revenue expenditure · capital expenditure · enduring benefit test · commercial advantage · upgrading existing products · business efficiency · existing business · product improvement

Also reported as

43 Taxmann 312

Sections most often in play

Section 143(3)Section 37(1)Section 250Section 32Section 35(1)(iv)Section 35(2AB)Section 234BSection 35D
Read the full judgment

Issues it is cited on

test of enduring benefitenduring benefitsection 35(2ab)section 40a(2)(b)revenue expenditurecapital expendituresection 35section 32fair market valuesection 40(a)section 40aassociated enterprise

Judgments citing Alembic Chemical Works Co. Ltd. v. CIT

Piramal Enterprises Limited, Mumbai vs. Additional Commissioner of Income Tax-7(1), Mumbai

In the result, Revenue’s appeal is dismissed

ITA 5471/MUM/2017[2008-09]Status: DisposedITAT Mumbai30 Jul 2018AY 2008-09

Bench: Shri Saktijit Dey & Shri Manoj Kumar Aggarwal

For Appellant: Shri Jahangir Mistry, Sr. Counsel a/wFor Respondent: Shri Jayant Kumar
Section 143(3)Section 144CSection 144C(3)Section 80I

…at even if the assessee’s claim of deduction under section 35A of the Act is not allowable, still the deduction claimed has to be allowed under section 37 of the Act in view of the judgment of the Apex Court in Alembic Chemicals Works Co. Ltd. v/s CIT, [1988] 177 ITR 377 (SC). 45 M/s. Piramal Enterprises Ltd. When the appeal of the Revenue on the disputed issue came up before the Hon'ble Jurisdictional High Court, the Revenue being conscious of the fact that if assessee’s claim is allowed under section 37 of the Act then the entire amount of ` 34 crore has to be allowed in one–go, therefore, the Revenue would b…

Systems America (India) Ltd vs. Addl. Commissioner of Income Tax

In the result, appeal of the assessee is partly allowed and that of the Department is dismissed

ITA 905/DEL/2005[2001-2002]Status: DisposedITAT Delhi12 Jul 2018AY 2001-2002

Bench: Shri N.K. Saini & Shri Kuldip Singh

For Respondent: Sh. M. Baranwal, Sr. DR
Section 10ASection 10A(9)Section 195Section 234BSection 250Section 35DSection 37(1)Section 80

…trade there was a good reason for treating such expenditure as properly attributable not to Revenue but capital. The reliance was placed on the following case laws:- i. CIT vs. Ashok Leyland Ltd. 86 ITR 549, (SC) ii. Alembic Chemical Works Co. Ltd. V. CIT, 177 ITR 377, (SC) iii. Travancore Sugars & Chemicals Ltd. v. CIT, 62 ITR 566, (SC) iv. Devidas Vithaldas & Co. vs. CIT, 84 ITR 277, (SC) v. R. B. Seth Moolchand Suganchand vs. CIT, 86 ITR 647, (SC) vi. Shree Sita Ram Paper Mills Ltd. vs. DCIT, 6 SOT 585 (Del) vii. Nimbus Communications Ltd. vs. ACIT 132 TTJ 351 (Bom) 28. In his rival submissions, the learne…

ACIT, Circle-7(1) vs. System America India Ltd

In the result, appeal of the assessee is partly allowed and that of the Department is dismissed

ITA 1492/DEL/2005[2001-2002]Status: DisposedITAT Delhi12 Jul 2018AY 2001-2002

Bench: Shri N.K. Saini & Shri Kuldip Singh

For Respondent: Sh. M. Baranwal, Sr. DR
Section 10ASection 10A(9)Section 195Section 234BSection 250Section 35DSection 37(1)Section 80

…trade there was a good reason for treating such expenditure as properly attributable not to Revenue but capital. The reliance was placed on the following case laws:- i. CIT vs. Ashok Leyland Ltd. 86 ITR 549, (SC) ii. Alembic Chemical Works Co. Ltd. V. CIT, 177 ITR 377, (SC) iii. Travancore Sugars & Chemicals Ltd. v. CIT, 62 ITR 566, (SC) iv. Devidas Vithaldas & Co. vs. CIT, 84 ITR 277, (SC) v. R. B. Seth Moolchand Suganchand vs. CIT, 86 ITR 647, (SC) vi. Shree Sita Ram Paper Mills Ltd. vs. DCIT, 6 SOT 585 (Del) vii. Nimbus Communications Ltd. vs. ACIT 132 TTJ 351 (Bom) 28. In his rival submissions, the learne…

ACIT, New Delhi vs. M/S. Linde Engineering India Pvt. Ltd., New Delhi

In the result appeal filed by revenue stands partly allowed

ITA 4393/DEL/2011[2007-08]Status: DisposedITAT Delhi05 Jul 2018AY 2007-08

Bench: Shri N.K.Billaiya & Smt. Beena A Pillaiay: 2007-08 Acit, Circle 4 (1) Vs. M/S Linde Engineering India Pvt. Ltd. Room No.407 806, Meghdoot C.R. Building, I.P. Estate 94-Nehru Place New Delhi New Delhi 110 019 Pan: Aaacl0084E

For Appellant: Sh. Piyush Chawla, C.A. and Sh. Rishabh Malhotra, AdvFor Respondent: Sh. Vijay Varma, CIT, D.R
Section 143(1)Section 143(2)Section 40Section 69

…of Ld. CIT (A) that the license expenses incurred by assessee do not create any asset but only provides means for running the business with a view to earn profits. Hon’ble Supreme Court in the case of Alembic Chemicals Works Co. Ltd vs. CIT reported in (1989) 177 ITR 377 has observed that; “The ideas of ‘once for all’ payment and ‘enduring benefits’ are not to be treated as something akin to statutory conditions; nor are the notions of ‘capital’ or ‘revenue’ a judicial fetish.” 9. Under such circumstances we do not find any infirmity in the addition being deleted as assessee has capitalised the value of the struc…

Hero Motocorp Ltd., New Delhi vs. Addl.CIT, Range-11, New Delhi

In the result ground No

ITA 6990/DEL/2017[2013-14]Status: DisposedITAT Delhi20 Jun 2018AY 2013-14

Bench: Shri R. K. Panda & Ms Suchitra Kamblei.T.A. No. 6990/Del/2017 (A.Y 2013-14)

Section 143(3)Section 144C

…laborator as opposed to acquisition of ownership rights therein, the payment made would be regarded as revenue expenditure. CIT v. Ciba India Ltd.: 69 ITR 692 (SC) CIT vs. British India Corp. Ltd. [1987] 165 ITR 51 (SC) Alembic Chemical Works Co. Ltd. v. CIT: 177 ITR 377 (SC) Shriram Refrigeration Industries Ltd. v. CIT: 127 ITR 746 (Del HC) Triveni Engineering Works Ltd. vs. CIT : 136 ITR 340 (Del) Addl. CIT vs. Shama Engine Valves Ltd. : 138 ITR 217 (Del) CIT vs. Bhai Sunder Dass & Sons P. Ltd. : 158 ITR 195 (Del) CIT vs. Lumax Industries Ltd. : 1'73 Taxman 390 (Del) Shriram Pistons & Rings Ltd. vs. CIT : 171 T…

Hero Motocorp Ltd., New Delhi vs. DCIT, New Delhi

In the result appeal No. 2424/Del/ 2015 filed by the revenue in assessment year 2010-11 is partly allowed

ITA 1616/DEL/2017[2012-13]Status: DisposedITAT Delhi13 Jun 2018AY 2012-13

Bench: Shri R. K. Panda & Ms Suchitra Kamble

Section 143(3)Section 144CSection 92C

…orator as opposed to acquisition of ownership rights therein, the payment made would be 91 regarded as revenue expenditure. CIT v. Ciba India Ltd.: 69 ITR 692 (SC) CIT vs. British India Corp. Ltd. [1987] 165 ITR 51 (SC) Alembic Chemical Works Co. Ltd. v. CIT: 177 ITR 377 (SC) Shriram Refrigeration Industries Ltd. v. CIT: 127 ITR 746 (Del HC) Triveni Engineering Works Ltd. vs. CIT : 136 ITR 340 (Del) Addl. CIT vs. Shama Engine Valves Ltd. : 138 ITR 217 (Del) CIT vs. Bhai Sunder Dass & Sons P. Ltd. : 158 ITR 195 (Del) CIT vs. Lumax Industries Ltd. : 1'73 Taxman 390 (Del) Shriram Pistons & Rings Ltd. vs. CIT : 171 T…

The DCIT, Circle-1(1)(1), Ahmedabad vs. Aagam Infrabuild Pvt. Ltd., Ahmedabad

In the result, Revenue’s appeal stands dismissed

ITA 1762/AHD/2016[2012-13]Status: DisposedITAT Ahmedabad25 May 2018AY 2012-13

Bench: Shri N.K. Billaiya & Ms. Madhumita Royआयकर अपील सं./I.T.A. No.1762/Ahd/2016 ("नधा"रण वष" / Assessment Year : 2012-13)

For Appellant: Shri V.K. Singh, Sr.DRFor Respondent: -None-

…ell as the findings and decision of the Ld.CIT(A) impugned before us and the grounds narrated by the Revenue in the instant appeal. We have gone through the several judgements passed on this issue. In the case of Alembic Chemical Works Co.Ltd. vs. CIT (1989) 177 ITR 377 it is held by the Hon’ble Supreme Court that the test of enduring benefit is not a certain and conclusive test, it cannot be applied blindly and mechanically without regard to particular facts and circumstances given in the case. Once the tests of ownership and enduring benefit are satisfied, the question whether expenditure incurred DCIT vs. Aa…

DCIT Cen Cir 4(2) Cen RG 4, Mumbai vs. Samudra Developers P.Ltd, Mumbai

In the result, appeal filed by the revenue for assessment year 2012-2013

ITA 6642/MUM/2016[2012-13]Status: DisposedITAT Mumbai27 Apr 2018AY 2012-13

Bench: Shri G.S. Pannu (Am) & Shri Ram Lal Negi (Jm) Assessment Year: 2012-13 The Deputy Commissioner Of M/S Samudra Developers Pvt. Ltd., Income Tax, 4Th Floor, Hdil Towers, Central Circle-4(2), Anant Kanekar Marg, Central Range- 4, Vs. Mumbai – 400051 Room No. 1918, 19Th Floor, Air India Building, Pan: Aaacs7992J Nariman Point, Mumbai - 400021

For Appellant: Shri Nirav Vora (AR)For Respondent: Shri Saurabh Deshpande (Sr. DR)
Section 142Section 143

…ourt in the case of Delhi Cloth and General Mills Company 8 Assessment Year: 2012-13 Ltd. 115 ITR 659 (Del) and the judgment of the Hon’ble Supreme Court delivered in Empire Jute Company Ltd. vs. CIT 124 ITR 1 (SC) and Alembic Chemicals Works Ltd. vs. CIT 177 ITR 377 (SC), deleted the addition made by the AO. The facts of the present case being identical, the Ld. CIT (A) consistent with his own findings aforesaid deleted the identical addition made by the AO in the present case. We further notice that the findings of the Ld. CIT (A) aforesaid has been upheld by the coordinate Bench in the appeal ITA No. 5974/…

M/S Hilton Roulunds Ltd vs. Commissioner of Income Tax

ITA/325/2005HC Delhi20 Apr 2018

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…ircumstances of a given case.” Thus, in this case the Supreme Court held that test of enduring benefit is not an absolute or a conclusive test and depends on the facts and circumstances of each case. 18. In Alembic Chemical Works Co. Ltd. v. CIT, [1989] 177 ITR 377 (SC), the Supreme Court followed the decision in Empire Jute (supra) and held: “There is also no single definitive criterion which, by itself, is determinative as to whether a particular outlay is capital or revenue. The 'once for all' payment test is also inconclusive. What is relevant is the purpose, of the outlay and its intended object…

Oriental Bank of Commerce vs. Additional Commissioner of Income Tax

ITA/129/2018HC Delhi17 Apr 2018

Bench: HON'BLE MR. JUSTICE S. RAVINDRA BHAT,HON'BLE MR. JUSTICE A. K. CHAWLA

…g and bank related operation and the motive for acquiring them was to optimize performance and streamline the efficiency of the bank. Learned counsel relied upon the judgment of the Supreme Court reported as Alembic Chemicals Works Co. Ltd. v. CIT (1989) 177 ITR 377 (SC). He also relied upon a Division Bench judgment in CIT v. Asahi India Safety Glass Ltd. (2012) 346 ITR 329. 4. The learned counsel for the revenue urged that the question of law has to be answered in favour of the revenue, firstly because of the concurrent nature of the findings rendered by all the authorities, which were consistent…

Rallis India Ltd, Mumbai vs. CIT -3, Mumbai

The appeal of the Revenue is dismissed,

ITA 3465/MUM/2013[2008-09]Status: DisposedITAT Mumbai05 Mar 2018AY 2008-09

Bench: Shri Joginder Singh & Shri G. Manjunathaassessment Year: 2008-09 M/S Rallis India Ltd. Cit -3, Mumbai बनाम/ 156/157, Nariman Bhawan, Vs. 15Th Floor, 227, Nariman Point, Mumbai – 400 021. ("नधा"रती /Assessee) (राज"व /Revenue) P.A. No. Aabcr 2657 N & Assessment Year: 2008-09 Dcit -3(3)(1), Mumbai M/S Rallis India Ltd. बनाम/ Room No.609, 6Th Floor, 156/157, Nariman Bhawan, Vs. Aayakar Bhavan, M. K. Road, 15Th Floor, 227, Nariman Mumbai – 400 020. Point, Mumbai – 400 021. (राज"व /Revenue) ("नधा"रती /Assessee) P.A. No. Aabcr 2657 N

Section 28

…ng to Rs.1,06,52,800/ - on account of legal; and professional fees for increasing the efficiency of business operations. The same was under a project titled "Project DISHA" (Driving Innovation Solution for Hyper Achievements). In Alembic Chemical Works Vs.CIT 177 ITR 377 (SC), Hon'ble Supreme Court held: 9 M/s Rallis India Ltd. ITA NO.3680/Mumbai/2016 CO NO.185/Mumbai/2016 "The improvisation in the process and technology in some 'areas of the enterprise was supplemental to the existing business and there was no material to hold that it amounted to a new or fresh venture. The further circumstance that the agreeme…

Knight Riders Sports P. Ltd, Mumbai vs. Asst CIT Cen Cir 29, Mumbai

The appeal of the assessee is partly allowed in terms of our aforesaid observations

ITA 1307/MUM/2013[2009-10]Status: DisposedITAT Mumbai29 Dec 2017AY 2009-10

Bench: Shri G.S.Pannu, Am & Shri Ravish Sood, Jm M/S Knight Riders Sports Acit, Central Circle-29, Private Limited, Deepvan बिधम/ Mumbai. Anand Vihar Society, 20Th Vs. Road, Khar (W), Mumbai-400 052 स्थामी रेखा सं./ जीआइआय सं./ Pan No. Aadck3118M (अऩीराथी /Appellant) (प्रत्मथी / Respondent) :

For Appellant: Mr. J.D. Mistry, A.RFor Respondent: Mr. Rajesh Yadav, D.R
Section 143(3)Section 250Section 32(1)(ii)Section 37(1)

…iness spent an amount of Rs 20,23,317/- on development of its website and the question arose whether it was capital or revenue. Allowing it as revenue, the Delhi High Court drawing support from the Apex Court decision in Alembic Chemical Works Co. Ltd vs. CIT 177 ITR 377, made the following worthy observations/findings: “7. Considered in the light of these principles enunciated by the supreme court, It is clear that just because a particular expenditure may result in an enduring benefit would not make such an expenditure of a capital nature. What is to be seen is what is the real intent and purpose of the expendi…

Principal Commissioner of Income Tax-7 vs. Rambagh Palace Hotels Pvt. Ltd

ITA/1188/2017HC Delhi22 Dec 2017

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…ITA 1184/2017, 1185/2017 & 1188/2017 Page 1 $~2,3 & 6 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 1184/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent + ITA 1185/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent + ITA 1188/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7 ..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent Through : Mr Sanjay Kumar and Mr Rahul Chaudhary, Advocates for Appellant in item Nos.2, 3 & 6. Mr Aditya Vohra, Advocate for respondent in it…

Principal Commissioner of Income Tax-7 vs. Rambagh Palace Hotels Pvt. Ltd

ITA/1185/2017HC Delhi22 Dec 2017

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…ITA 1184/2017, 1185/2017 & 1188/2017 Page 1 $~2,3 & 6 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 1184/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent + ITA 1185/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent + ITA 1188/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7 ..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent Through : Mr Sanjay Kumar and Mr Rahul Chaudhary, Advocates for Appellant in item Nos.2, 3 & 6. Mr Aditya Vohra, Advocate for respondent in it…

Principal Commissioner of Income Tax-7 vs. Rambagh Palace Hotels Pvt. Ltd

ITA/1184/2017HC Delhi22 Dec 2017

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…ITA 1184/2017, 1185/2017 & 1188/2017 Page 1 $~2,3 & 6 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 1184/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent + ITA 1185/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent + ITA 1188/2017 PRINCIPAL COMMISSIONER OF INCOME TAX-7 ..... Appellant versus RAMBAGH PALACE HOTELS PVT. LTD., ..... Respondent Through : Mr Sanjay Kumar and Mr Rahul Chaudhary, Advocates for Appellant in item Nos.2, 3 & 6. Mr Aditya Vohra, Advocate for respondent in it…

Infosys Ltd., Bangalore vs. Addl.C.I.T, Bangalore

In the result, Revenue’s appeal for A

ITA 102/BANG/2013[2005-06]Status: DisposedITAT Bangalore10 Nov 2017AY 2005-06

Bench: Shri Sunil Kumar Yadav & Shri Jason P Boaz

For Appellant: Shri H.N. Khincha, C.AFor Respondent: Shri R. N. Parbat, CIT-III (D.R)
Section 143(3)Section 195Section 40Section 92ASection 92C

…purpose of software expenses and to decide the issue of software expenditure being capital or revenue in the light of the decisions of the Hon'ble Apex Court in the case of Empire Jute Co. Ltd. (1980) 124 ITR 1, Alembic Chemicals Works Co. Ltd. Vs. CIT (1989) 177 ITR 377, the Hon'ble High Court of Karnataka in the case of CIT Vs. IBM India Ltd. (supra) and the Hon'ble High Court of Calcutta in the case of Indian Aluminium Co. Ltd. (2016) Tax Corp (DT) 64980; after affording the assessee adequate opportunity of being heard in the matter. Consequently, Ground No.3.1 of the assessee's appeal is allowed for statistic…

Maruti Suzuki India Ltd., New Delhi vs. Addl. CIT, New Delhi

In the result, the appeal of the assessee is allowed in part for statistical purposes

ITA 6021/DEL/2012[2008-09]Status: DisposedITAT Delhi09 Nov 2017AY 2008-09

Bench: Shri N.K. Saini & Shri K.N. Charry

Section 143(3)Section 144CSection 144C(5)Section 14ASection 35DSection 43BSection 92C

…se of CIT v Lumax Industries Limited: 173 Taxman 390 held that similar royalty payment was allowable as revenue deduction. 9.4. He submitted that in a host of decisions, namely, CIT v. Ciba India Ltd: 69 ITR 692 (SC) , Alembic Chemical Works Co. Ltd. v. CIT: 177 ITR 377 (SC), CIT v. Shriram Pistons and Rings Limited -CC 12154/2009 (SC) (dismissing the SLP filed by the revenue against the order of the Delhi High Court in ITA No. 167/2008), Shriram Refrigeration Industries Ltd. v. CIT: 127 ITR 746(Del), Triveni Engineering Works Ltd. v. CIT 136: ITR 340 (Del), CIT v. Sharda Motor Industrial Limited: 319 ITR 109 (D…

DCIT Cir 3(3), Mumbai vs. Rallis India Ltd, Mumbai

In the result, the appeal of the revenue is dismissed

ITA 4316/MUM/2014[2010-11]Status: DisposedITAT Mumbai08 Nov 2017AY 2010-11

Bench: Shri Saktijit Dey, Jm & Shri Rajesh Kumar, Am आमकय अऩीर सं./ I.T.A. No.4234/Mum/2014 (निर्ाारण वषा / Assessment Year :2010-11) M/S Rallis India Ltd, Addl.Commissioner Of Income 156/157 Nariman Bhavan, Tax-Circle 3(3), फनाभ/ Room No.609, 6Th Floor, Nariman Point, Mumbai-400001 Aayakar Bhavan, Vs. M K Road, Mumbai-400020 (अऩीराथी /Appellant) (प्रत्मथी / Respondent) आमकय अऩीर सं./ I.T.A. No.4316/Mum/2014 (निर्ाारण वषा / Assessment Year :2010-11) Dy.Commissioner Of Income Tax- M/S Rallis India Ltd, Circle 3(3), 156/157 Nariman Bhavan, फनाभ/ Room No.609, 6Th Floor, Nariman Point, Aayakar Bhavan, Mumbai-400001 Vs. M K Road, Mumbai-400020 (अऩीराथी /Appellant) (प्रत्मथी / Respondent) Pan: Aabcr2657N अऩीराथी की ओय से / Assessee By : S/Shri Jitendra Jain, H.Jemshethji & Darshit Naik प्रत्मथी की ओय से/Respondent By : Shri Purishottam Kumar सुनवाई की तायीख /Date Of Hearing : 9.8.2017 घोषणा की तायीख /Date Of Pronouncement : 8.11.2017

For Appellant: S/Shri Jitendra Jain, H.Jemshethji and Darshit NaikFor Respondent: Shri Purishottam Kumar
Section 10(34)Section 14ASection 80I

…ing to Rs.1,06,52,800/ - on account of legal; and professional fees for increasing the efficiency of business operations. The Same was under a project titled "Project DISHA" (Driving Innovation Solution forHyper Achievements). In Alembic Chemical Works Vs.CIT 177 ITR 377 (SC), Hon'ble Supreme Court held: "The improvisation in the process and technology in some 'areas of the enterprise was supplemental to the existing business and there was no material to hold that it amounted to a new or fresh venture. The further circumstance that the agreement pertained to a product already in the line of the assessee's establi…

Rallis India Ltd, Mumbai vs. Addl CIT 3(3), Mumbai

In the result, the appeal of the revenue is dismissed

ITA 4234/MUM/2014[2010-11]Status: DisposedITAT Mumbai08 Nov 2017AY 2010-11

Bench: Shri Saktijit Dey, Jm & Shri Rajesh Kumar, Am आमकय अऩीर सं./ I.T.A. No.4234/Mum/2014 (निर्ाारण वषा / Assessment Year :2010-11) M/S Rallis India Ltd, Addl.Commissioner Of Income 156/157 Nariman Bhavan, Tax-Circle 3(3), फनाभ/ Room No.609, 6Th Floor, Nariman Point, Mumbai-400001 Aayakar Bhavan, Vs. M K Road, Mumbai-400020 (अऩीराथी /Appellant) (प्रत्मथी / Respondent) आमकय अऩीर सं./ I.T.A. No.4316/Mum/2014 (निर्ाारण वषा / Assessment Year :2010-11) Dy.Commissioner Of Income Tax- M/S Rallis India Ltd, Circle 3(3), 156/157 Nariman Bhavan, फनाभ/ Room No.609, 6Th Floor, Nariman Point, Aayakar Bhavan, Mumbai-400001 Vs. M K Road, Mumbai-400020 (अऩीराथी /Appellant) (प्रत्मथी / Respondent) Pan: Aabcr2657N अऩीराथी की ओय से / Assessee By : S/Shri Jitendra Jain, H.Jemshethji & Darshit Naik प्रत्मथी की ओय से/Respondent By : Shri Purishottam Kumar सुनवाई की तायीख /Date Of Hearing : 9.8.2017 घोषणा की तायीख /Date Of Pronouncement : 8.11.2017

For Appellant: S/Shri Jitendra Jain, H.Jemshethji and Darshit NaikFor Respondent: Shri Purishottam Kumar
Section 10(34)Section 14ASection 80I

…ing to Rs.1,06,52,800/ - on account of legal; and professional fees for increasing the efficiency of business operations. The Same was under a project titled "Project DISHA" (Driving Innovation Solution forHyper Achievements). In Alembic Chemical Works Vs.CIT 177 ITR 377 (SC), Hon'ble Supreme Court held: "The improvisation in the process and technology in some 'areas of the enterprise was supplemental to the existing business and there was no material to hold that it amounted to a new or fresh venture. The further circumstance that the agreement pertained to a product already in the line of the assessee's establi…

Honda Siel Cars India Ltd vs. Commissioner of Income Tax, Ghaziabad

In the results. As a consequence, we find no

C.A. No.-004918-004918 - 2017Supreme Court09 Jun 2017

Bench: HON'BLE MR. JUSTICE A.K. SIKRI

Section 148

…of antibiotic, penicillin etc. It entered into an agreement with Japanese Company for supply of requisite technical know-how so as to achieve substantially high level of performance or production with the aid of better technology and 5 (1989) 177 ITR 377 Civil Appeal No. 4918 of 2017 & Ors. Page 22 of 34 process of fermentation and with better yielding penicillin strains that was developed by the foreign company. Under the agreement, royalty was to be paid. This royalty payment was treated as capital expenditure till the stage of the High Court. This Court reversed the judgment of the…