CIT v. ITC Hotels Ltd.

290 ITR 217High Court2007#2311 most cited

What is CIT v. ITC Hotels Ltd. authority for?

Expenditure, including interest paid on Compulsorily Convertible Debentures (CCDs) or Optionally Convertible Debentures (OCDs), qualifies as an allowable revenue deduction for income tax purposes.

50

judgments rely on this decision, according to BharatTax’s citation analysis of 366,416 Indian tax judgments — from 2012 to 2024.

Also referred to as

CIT v. ITC Hotels Ltd. · 290 ITR 217 · revenue expenditure · allowable deduction · interest on debentures · Compulsorily Convertible Debentures · Optionally Convertible Debentures · business expenses · Income-tax Act 1961

Also reported as

190 Taxmann 430

Sections most often in play

Section 1961 Section 135 of Companies Act Section 143(3) of Income-tax Act Section 145 Section 145 of Income-tax Act Section 14A Section 14A of Income-tax Act Section 158A(1)

Issues it is cited on

illegal payment section 80ie section 35(1)(iv)section 10(2a)section 92(1)explanation to section 37 section 35(1)legal expenses section 40a(2)(b)section 36(1)(ii)prohibited by law section 36(2)

Judgments citing CIT v. ITC Hotels Ltd.

Asst.C.I.T., Mangalore vs. M/S Hassan Hajee & Co, Mangalore

In the result, the assessee’s appeals in ITA Nos

ITA 1363/BANG/2015[2011-12]Status: DisposedITAT Bangalore22 Sept 2022AY 2011-12

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Sri V. Srinivasan, A.RFor Respondent: Sri Praveen Karanth, D.R

…ivities were being carried at the Madras Port. The assessment year involved was 1994-95. The Hon'ble Madras High Court allowed such expenditure in the case of the assessee. Such expenditure was also allowed in the case of that assessee in decision reported at 290 ITR 217 for the asst, years 1986-87 to 1993-94. 19. The Mumbai Tribunal in the case of A P L (India) Pvt. Ltd. v. DCIT 96 ITC, 227 had. an occasion to consider the allowability of incentives paid to the port workers. In that case, there were self-made vouchers. This concern was also doing the cargo handling at Madras Port. The Mumbai Tribunal held that b…

Asst.C.I.T., Mangalore vs. M/S Hassan Hajee & Co, Mangalore

In the result, the assessee’s appeals in ITA Nos

ITA 1362/BANG/2015[2010-11]Status: DisposedITAT Bangalore22 Sept 2022AY 2010-11

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Sri V. Srinivasan, A.RFor Respondent: Sri Praveen Karanth, D.R

…ivities were being carried at the Madras Port. The assessment year involved was 1994-95. The Hon'ble Madras High Court allowed such expenditure in the case of the assessee. Such expenditure was also allowed in the case of that assessee in decision reported at 290 ITR 217 for the asst, years 1986-87 to 1993-94. 19. The Mumbai Tribunal in the case of A P L (India) Pvt. Ltd. v. DCIT 96 ITC, 227 had. an occasion to consider the allowability of incentives paid to the port workers. In that case, there were self-made vouchers. This concern was also doing the cargo handling at Madras Port. The Mumbai Tribunal held that b…

Asst.C.I.T., Mangalore vs. M/S Hassan Hajee & Co, Mangalore

In the result, the assessee’s appeals in ITA Nos

ITA 1361/BANG/2015[2009-10]Status: DisposedITAT Bangalore22 Sept 2022AY 2009-10

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Sri V. Srinivasan, A.RFor Respondent: Sri Praveen Karanth, D.R

…ivities were being carried at the Madras Port. The assessment year involved was 1994-95. The Hon'ble Madras High Court allowed such expenditure in the case of the assessee. Such expenditure was also allowed in the case of that assessee in decision reported at 290 ITR 217 for the asst, years 1986-87 to 1993-94. 19. The Mumbai Tribunal in the case of A P L (India) Pvt. Ltd. v. DCIT 96 ITC, 227 had. an occasion to consider the allowability of incentives paid to the port workers. In that case, there were self-made vouchers. This concern was also doing the cargo handling at Madras Port. The Mumbai Tribunal held that b…

Asst.C.I.T., Mangalore vs. M/S Hassan Hajee & Co, Mangalore

In the result, the assessee’s appeals in ITA Nos

ITA 1360/BANG/2015[2008-09]Status: DisposedITAT Bangalore22 Sept 2022AY 2008-09

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Sri V. Srinivasan, A.RFor Respondent: Sri Praveen Karanth, D.R

…ivities were being carried at the Madras Port. The assessment year involved was 1994-95. The Hon'ble Madras High Court allowed such expenditure in the case of the assessee. Such expenditure was also allowed in the case of that assessee in decision reported at 290 ITR 217 for the asst, years 1986-87 to 1993-94. 19. The Mumbai Tribunal in the case of A P L (India) Pvt. Ltd. v. DCIT 96 ITC, 227 had. an occasion to consider the allowability of incentives paid to the port workers. In that case, there were self-made vouchers. This concern was also doing the cargo handling at Madras Port. The Mumbai Tribunal held that b…

Asst.C.I.T., Mangalore vs. M/S Hassan Hajee & Co, Mangalore

In the result, the assessee’s appeals in ITA Nos

ITA 1359/BANG/2015[2007-08]Status: DisposedITAT Bangalore22 Sept 2022AY 2007-08

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Sri V. Srinivasan, A.RFor Respondent: Sri Praveen Karanth, D.R

…ivities were being carried at the Madras Port. The assessment year involved was 1994-95. The Hon'ble Madras High Court allowed such expenditure in the case of the assessee. Such expenditure was also allowed in the case of that assessee in decision reported at 290 ITR 217 for the asst, years 1986-87 to 1993-94. 19. The Mumbai Tribunal in the case of A P L (India) Pvt. Ltd. v. DCIT 96 ITC, 227 had. an occasion to consider the allowability of incentives paid to the port workers. In that case, there were self-made vouchers. This concern was also doing the cargo handling at Madras Port. The Mumbai Tribunal held that b…

Asst.C.I.T., Mangalore vs. M/S Hassan Hajee & Co, Mangalore

In the result, the assessee’s appeals in ITA Nos

ITA 1358/BANG/2015[2006-07]Status: DisposedITAT Bangalore22 Sept 2022AY 2006-07

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Sri V. Srinivasan, A.RFor Respondent: Sri Praveen Karanth, D.R

…ivities were being carried at the Madras Port. The assessment year involved was 1994-95. The Hon'ble Madras High Court allowed such expenditure in the case of the assessee. Such expenditure was also allowed in the case of that assessee in decision reported at 290 ITR 217 for the asst, years 1986-87 to 1993-94. 19. The Mumbai Tribunal in the case of A P L (India) Pvt. Ltd. v. DCIT 96 ITC, 227 had. an occasion to consider the allowability of incentives paid to the port workers. In that case, there were self-made vouchers. This concern was also doing the cargo handling at Madras Port. The Mumbai Tribunal held that b…

Commissioner of Income Tax vs. M/S. Syndicate Bank

In the result, the appeal is dismissed

ITA/587/2013HC Karnataka07 Sept 2020

Bench: ALOK ARADHE,H.T. NARENDRA PRASAD

Section 115JSection 260Section 35DSection 36(1)(vii)

…1 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 7TH DAY OF SEPTEMBER 2020 PRESENT THE HON’BLE MR. JUSTICE ALOK ARADHE AND THE HON’BLE MR. JUSTICE H.T.NARENDRA PRASAD I.T.A. NO.587/2013 BETWEEN: 1. COMMISSIONER OF INCOME TAX MANGALORE. 2. DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-1, UDUPI-576101. ... APPELLANTS (BY SRI. E.I. SANMATHI, ADV.) AND: M/S. SYNDICATE BANK CENTRAL ACCOUNTS DEPARTMENT TAX CELL, HEAD OFFICE MANIPAL – 576 104. ... RESPONDENT (BY SRI. T. SURYANARAYANA, ADV.) - - - THIS I.T.A. IS FILED UNDER SECTION 260-A OF I.T.ACT, 1…

Commissioner of Income Tax vs. M/S Syndicate Bank

In the result, the appeal is dismissed

ITA/351/2014HC Karnataka07 Sept 2020

Bench: ALOK ARADHE,H.T. NARENDRA PRASAD

Section 145Section 260Section 36(1)(vii)Section 43D

…1 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 7TH DAY OF SEPTEMBER 2020 PRESENT THE HON’BLE MR. JUSTICE ALOK ARADHE AND THE HON’BLE MR. JUSTICE H.T.NARENDRA PRASAD I.T.A. NO.351 OF 2014 BETWEEN: 1. COMMISSIONER OF INCOME TAX C.R. BUILDING, ATTAVARA MANGALORE. 2. DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-1, UDUPI-576101. ... APPELLANTS (BY SRI. E.I. SANMATHI, ADV.) AND: M/S. SYNDICATE BANK CENTRAL ACCOUNTS DEPARTMENT TAX CELL, HEAD OFFICE MANIPAL-576104. ... RESPONDENT (BY SRI. T. SURYANARAYANA, ADV.,) - - - THIS I.T.A. IS FILED UNDER…

Commissioner of Income Tax vs. M/S. Syndicate Bank

In the result, the appeal is dismissed

ITA/585/2013HC Karnataka07 Sept 2020

Bench: ALOK ARADHE,H.T. NARENDRA PRASAD

Section 115JSection 260Section 36(1)(vii)

…1 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 7TH DAY OF SEPTEMBER 2020 PRESENT THE HON’BLE MR. JUSTICE ALOK ARADHE AND THE HON’BLE MR. JUSTICE H.T.NARENDRA PRASAD I.T.A. NO.585/2013 BETWEEN: 1. COMMISSIONER OF INCOME TAX MANGALORE. 2. DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-1, UDUPI-576101. ... APPELLANTS (BY SRI. E.I. SANMATHI, ADV.) AND: M/S. SYNDICATE BANK CENTRAL ACCOUNTS DEPARTMENT TAX CELL, HEAD OFFICE MANIPAL – 576 104. ... RESPONDENT (BY SRI. T. SURYANARAYANA, ADV.) - - - THIS I.T.A. IS FILED UNDER SECTION 260-A OF I.T.ACT, 1…

M/S. Ims Health Analytics Services Private Limited, Bangalore vs. Deputy Commissioner of Income Tax, Circle - 3(1)(1), Bangalore

In the result, the appeal by the assessee is allowed

ITA 1549/BANG/2019[2015-16]Status: DisposedITAT Bangalore19 Jun 2020AY 2015-16

Bench: Shri N.V. Vasudevan & Shri B R Baskaranassessment Year: 2015-16

For Appellant: Smt. Tanmayee Rajkumar, AdvocateFor Respondent: Smt. R. Premi, Jt.CIT(DR)(ITAT), Bengaluru

Section 36(1)(iii)Section 37(1)

…IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH : BANGALORE BEFORE SHRI N.V. VASUDEVAN, VICE PRESIDENT AND SHRI B R BASKARAN, ACCOUNTANT MEMBER Assessment year: 2015-16 IMS Health Analytics Services Vs. The Deputy Commissioner Private Ltd. [formerly IMS Health of Income Tax, India Pvt. Ltd. since merged], Circle 3(1)(1), Omega Block, Embassy Tech Bangalore. Square, Marathahalli – Sarjapur Outer Ring Road, Kadubeesanahalli, Bangalore – 560 103. PAN: AADCP 1532C APPELLANT RESPONDENT Appellant by : Smt. Tanmayee Rajkumar, Advocate Respondent by : Smt. R. Premi, Jt.CIT(DR)(ITAT), Bengaluru. Date of hearing : 11.06…

DCIT Corporate Circle 1, Coimbatore vs. Sakthi Sugars Limited, Coimbatore

In the result, the Revenue’s appeal is treated as partly allowed

ITA 1356/CHNY/2019[2012-13]Status: DisposedITAT Chennai19 Feb 2020AY 2012-13

Bench: Shri N.R.S. Ganesan & Shri S. Jayaraman

For Respondent: Shri. R. Vijayaraghavan Advocate

Section 147Section 43Section 43BSection 78

…आयकरअपील"यअ"धकरण ,’ए’ "यायपीठ,चे"नई IN THE INCOME TAX APPELLATE TRIBUNAL “A ” BENCH, CHENNAI "ीएन.आर.एस .गणेशन, "या"यकसद"यएवं "ीएसजयरामन, लेखासद"यकेसम" BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBER आयकर अपील सं/.I.T.A. No. 1356/Chny/2019 "नधा"रण वष"/Assessment Year : 2012-13 Deputy Commissioner of Income Tax, Sakthi Sugars Limited, Corporate Circle -1, Vs. No. 180, Race Course Road, Coimbatore. Coimbatore – 641 018. [PAN: AADCS 0651B] (""यथ"/Respondent) (अपीलाथ"/Appellant) : Shri. S. Bharath, CIT अपीलाथ"क"ओरसे/Appellant by ""यथ"क"ओरसे/Respondent by : Shri. R. Vijayaraghava…

DCIT, New Delhi vs. M/S. Citi Financial Cosumer Finance India Ltd., New Delhi

In the result, appeal filed by Revenue is dismissed

ITA 3118/DEL/2016[2010-11]Status: DisposedITAT Delhi29 Jul 2019AY 2010-11

Bench: Shri H.S. Sidhu & Shri Anadee Nath Misshra

For Appellant: Shri Gaurav Gupta, AdvFor Respondent: Shri S.S. Rana, CIT(DR)

…ee relied upon decisions in CIT Vs. East India Hotels, 252 ITR 860 (Cal); CIT Vs. Mahindra Ugine and Steel Co. Ltd., 250 ITR 84 (Bom),Premier Automobiles Ltd. Vs. CIT 80 ITR 415 (Bom); CIT Vs. OL: 218 CTR 165 (Guj); CIT Vs. South India Corpn. (Agencies) Ltd., 290 ITR 217 (Mad) and CIT Vs. First Leasing Co. of India Ltd., 304 ITR 67 (Mad).It was further pointed out that deferment of issue expenses in the books would not lead to the conclusion that the expenditure is not revenue in nature. In support, the assessee relied upon the decisions in Kedarnath Jute Mfg. Co. Ltd. Vs. CIT (Central)(1971), 82 ITR 363(SC); Sut…

M/S Cae Flight Training (India) Private Limited, Bangalore vs. ITO, Bangalore

In the result, Both the C

ITA 84/BANG/2015[2010-11]Status: DisposedITAT Bangalore25 Jul 2019AY 2010-11

Bench: Shri Arun Kumar Garodia & Smt. Beena Pillai

…d therefore, whether it is convertible, or non-convertible, does not militate against the nature of the debenture, being loan and therefore the expenditure thus incurred would be admissible as revenue expenditure. v. In the case of CIT vs. ITC Hotels Limited (190 Taxmann 430), the Honble. Karnataka High Court has also concluded that even if the debentures were to be converted into shares at a later date the expenditure incurred on such convertible debentures has to be treated as revenue expenditure. vi. In the case of DCIT vs. Modern Syntex India Limited (95 TTJ JP 161), the Honble ITAT Jaipur, has also very clea…

ITO, Bangalore vs. M/S Cae Flight Training Pvt. Ltd., Bangalore

In the result, Both the C

ITA 63/BANG/2015[2010-11]Status: DisposedITAT Bangalore25 Jul 2019AY 2010-11

Bench: Shri Arun Kumar Garodia & Smt. Beena Pillai

…d therefore, whether it is convertible, or non-convertible, does not militate against the nature of the debenture, being loan and therefore the expenditure thus incurred would be admissible as revenue expenditure. v. In the case of CIT vs. ITC Hotels Limited (190 Taxmann 430), the Honble. Karnataka High Court has also concluded that even if the debentures were to be converted into shares at a later date the expenditure incurred on such convertible debentures has to be treated as revenue expenditure. vi. In the case of DCIT vs. Modern Syntex India Limited (95 TTJ JP 161), the Honble ITAT Jaipur, has also very clea…

Dy C.I.T..1(1), Raipur (Cg) vs. Shri Ismail Mohammed, Raipur (Cg)

In the result, appeal filed by the revenue for assessment year 2011-

ITA 214/BIL/2014[2011-12]Status: DisposedITAT Raipur06 Jun 2018AY 2011-12

Bench: Shri N.K. Billaiya (Am) & Shri Ram Lal Negi (Jm) Assessment Year: 2009-10 The Dy. Commissioner Of Shri Ismail Mohammed, Income Tax-1(1), 24/347, Dr. Virdhi Gali Marg, Central Revenue Building, Jawahar Nagar, Civil Lines, Vs. Raipur (C.G.) Raipur (C.G.) Pan: Aispm8617R (Appellant) (Respondent) Revenue By : Sheetal Shashwat Verma (Dr) Assessee By : None (Written Submission) Date Of Hearing: 05/03/2018 Date Of Pronouncement: 06/06/2018

For Appellant: None (Written submission)For Respondent: Sheetal Shashwat Verma (DR)

Section 143Section 40

…estment.: Hon’ble Allahabad High Court in case of CIT Vs. Radico Khaitan Ltd. 274 ITR 354 (AII), Hon’ble Delhi High Court in case of CIT Vs. Tin Box Co. 260 ITR 637 (Del) and Hon’ble Madras High Court in case of CIT Vs. South India Corporation (Agencies) Ltd. 290 ITR 217 (Mad) are also in favour of the appellant. Looking to the facts and circumstances of the case as also decisions cited above, the disallowance made by the A.O. cannot be sustained. Hence, the disallowance is deleted.” 9. We notice that the AO has not pointed out any evidence to establish that the borrowed funds were not utilized by the assessee f…

Dy.C.I.T.1(1), Raipur (Cg) vs. M/S Navbharat Press, Raipur (Cg)

In the result, appeal filed by Revenue is dismissed

ITA 160/BIL/2014[2010-11]Status: DisposedITAT Raipur15 Jan 2018AY 2010-11

Bench: : Shri N.S.Saini & Shri Pavan Kumar Gadale, Judical Member Dcit-1(1), Raipur-1 Vs Navbharat Press, Press Complex, G.E.Road, Raipur(C.G.)-492001 Pan No. : Aadfn 0350 R (Appellant) Tsednepser .. Revenue By : Shri Ajit Kumar Laskar, Dr Assessee By : None(Written Submission) Date Of Hearing : 12/01/2018 Date Of Pronouncement 15/01/2018 आदेश / O R D E R Per Shri N.S.Saini, Am: This Is An Appeal Filed By The Revenue Against The Order Of The Cit(A), Raipur, Dated 12.06.2014 For The Assessment Year 2010-2011. 2. The Revenue Has Raised The Following Grounds :- “1. Whether In Law & On Facts & Circumstances Of The Case, The Cit(A) Has Erred In Deleting The Disallowance Of Interest U/S.36(1)(Iii) Of The Income Tax Act, 1961 Of Rs.41,54,811/- As Interest Bearing Funds Were Used For Non-Business Purposes.” 3. Brief Facts Of The Case Are That The Assessee Is A Partnership Firm Derives Income From Printing & Publishing Of Hindi Daily Newspaper “Nav Bharat” & English Daily “Central Chronicle” From Raipur. The Assessee Filed Its Return Of Income Declaring Total Income Of Rs.1,85,77,530/-. Thereafter The Ao Framed The Assessment U/S.143(3) Of The Act Determining The Total Income Of The Assessee At Rs.2,27,32,341/-.

For Appellant: None(Written Submission)For Respondent: Shri Ajit Kumar Laskar, DR

Section 143(3)Section 36(1)(iii)Section 44A

…e Hon'ble Allahabad High -Court in the case of CIT Vs.Radico Khaitan Ltd. 274 ITR 354 (All), Hon'ble Delhi High Court in case of CIT Vs. Tin Box Co. 260 ITR 637 (Del) and Hon'ble Madras High Court in the case of CIT Vs. South India Corporation (Agencies) Ltd. 290 ITR 217 (Mad) are also in favour of the appellant. Looking to the facts and circumstances of the case as also decisions cited above, the disallowance of interest made by the A.O amounting to Rs.41,54,811/- cannot be sustained. Hence, the disallowance is deleted. 10. Another dimension of the argument of the appellant that payment of interest was commerci…

DCIT, New Delhi vs. M/S Dlf Ltd., New Delhi

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

ITA 4342/DEL/2012[2007-08]Status: DisposedITAT Delhi01 Nov 2017AY 2007-08

Bench: Shri B.P. Jain & Shri K.N. Chary.

For Appellant: Shri R.S. Singhvi, CAFor Respondent: Ms. Renu Amitabh, CIT-DR

Section 142Section 143(3)Section 14ASection 250Section 40

…debentures were to be converted into shares at a later date, the expenditure incurred on such convertible debentures has to be treated as revenue expenditure. Subsequent to this judgment, the Hon’ble Karnataka High Court in the case of CIT vs. ITC Hotels Ltd. 190 Taxmann 430 has decided that expenses relating to convertible debentures is a revenue expenditure. In view of the above, the expenditure incurred of Rs. 1,04,32,923/- with respect to issuance of bonus shares and conversion of debentures into equity shares is held to be revenue expenditure and not a capital expenditure. Therefore, the addition made by the…

Dlf Ltd., New Delhi vs. Addl. CIT, New Delhi

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

ITA 3846/DEL/2012[2007-08]Status: DisposedITAT Delhi01 Nov 2017AY 2007-08

Bench: Shri B.P. Jain & Shri K.N. Chary.

For Appellant: Shri R.S. Singhvi, CAFor Respondent: Ms. Renu Amitabh, CIT-DR

Section 142Section 143(3)Section 14ASection 250Section 40

…debentures were to be converted into shares at a later date, the expenditure incurred on such convertible debentures has to be treated as revenue expenditure. Subsequent to this judgment, the Hon’ble Karnataka High Court in the case of CIT vs. ITC Hotels Ltd. 190 Taxmann 430 has decided that expenses relating to convertible debentures is a revenue expenditure. In view of the above, the expenditure incurred of Rs. 1,04,32,923/- with respect to issuance of bonus shares and conversion of debentures into equity shares is held to be revenue expenditure and not a capital expenditure. Therefore, the addition made by the…

Ashok Leyland Ltd., Chennai vs. DCIT, Chennai

In the result, the appeal of the Revenue in ITA

ITA 2834/CHNY/2014[1995-96]Status: DisposedITAT Chennai23 Sept 2016AY 1995-96

Bench: Shri Chandra Poojari & Shri G. Pavan Kumarआयकर अपील सं./I.T.A. Nos.2825, 2826 & 2827/Mds/2014 "नधा"रण वष" /Assessment Years : 2005-06, 2006-07 & 2007-2008. The Deputy Commissioner Of M/S. Ashok Leyland Ltd, Income Tax, Vs. No.1, Sardar Patel Road, Large Taxpayer Unit -Ii, Guindy, Chennai 600 101. Chennai 600 032. [Pan Aaaca 4651L] (Department) (Assessee )

For Appellant: Shri. Vikram Vijayaraghavan, AdvocateFor Respondent: Shri. Arun C. Bharath, IRS, CIT

Section 35D(2)Section 35D(2)(c)

…Tax (Appeals) order, the assessee assailed an appeal before Tribunal. 8.3 We heard both sides, perused the material on record and judicial decision cited. This issue came for consideration in following cases:- (i) CIT vs. South India Corpn. (Agencies) Ltd 290 ITR 217. (ii) CIT vs. First Leasing Co. of India Ltd 304 ITR 67. (iii) CIT vs. Secure Meters Ltd 321 ITR 611. ITA Nos.2825 to 2827, 2834 :- 23 -: to 2839/Mds/2014. In all these judgments wherein held that expenditure incurred on issue of debentures whether convertible or non convertible is allowable as Revenue expenditure. Being so, even foreign currency…

DCIT, Chennai vs. Ashok Leyland Ltd., Chennai

In the result, the appeal of the Revenue in ITA

ITA 2827/CHNY/2014[2007-08]Status: DisposedITAT Chennai23 Sept 2016AY 2007-08

Bench: Shri Chandra Poojari & Shri G. Pavan Kumarआयकर अपील सं./I.T.A. Nos.2825, 2826 & 2827/Mds/2014 "नधा"रण वष" /Assessment Years : 2005-06, 2006-07 & 2007-2008. The Deputy Commissioner Of M/S. Ashok Leyland Ltd, Income Tax, Vs. No.1, Sardar Patel Road, Large Taxpayer Unit -Ii, Guindy, Chennai 600 101. Chennai 600 032. [Pan Aaaca 4651L] (Department) (Assessee )

For Appellant: Shri. Vikram Vijayaraghavan, AdvocateFor Respondent: Shri. Arun C. Bharath, IRS, CIT

Section 35D(2)Section 35D(2)(c)

…Tax (Appeals) order, the assessee assailed an appeal before Tribunal. 8.3 We heard both sides, perused the material on record and judicial decision cited. This issue came for consideration in following cases:- (i) CIT vs. South India Corpn. (Agencies) Ltd 290 ITR 217. (ii) CIT vs. First Leasing Co. of India Ltd 304 ITR 67. (iii) CIT vs. Secure Meters Ltd 321 ITR 611. ITA Nos.2825 to 2827, 2834 :- 23 -: to 2839/Mds/2014. In all these judgments wherein held that expenditure incurred on issue of debentures whether convertible or non convertible is allowable as Revenue expenditure. Being so, even foreign currency…