CIT v. L.G. Electronic (India) Ltd.

282 ITR 545High Court2006#5021 most cited

What is CIT v. L.G. Electronic (India) Ltd. authority for?

The setting up of a business and the commencement of a business are distinct events and do not necessarily occur on the same date. Expenses incurred before the commencement of business but after the setting up of business may be considered for determining profits.

23

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2012 to 2025.

Also referred to as

CIT v. L.G. Electronic (India) Ltd. · 282 ITR 545 · setting up of business · commencement of business · previous year · section 10(2) · revenue expenditure

Sections most often in play

Section 10(2)Section 143(1)Section 143(2)Section 143(3)Section 1961Section 2(11)Section 2(34)Section 28(i)

Issues it is cited on

section 2(11)section 10(2)section 57(iii)section 57section 44abrevenue expendituresection 10previous yearincome from other sourcesassistant commissionerappeal before the tribunalcompany

Judgments citing CIT v. L.G. Electronic (India) Ltd.

Omniglobe Information Tech India Pvt Ltd

ITA/257/2012HC Delhi11 Aug 2014
Section 10B

…(ITA 131/2010) decided on July 9, 2013, had held as under:- “7. The aforesaid distinction is relevant when we examine and refers to the definition of „previous year‟. Following the said judgment, in the case of CIT v. L.G. Electronic (India) Ltd. [2006] 282 ITR 545 (Delhi), it has been observed that the date of setting up of business and date of commencement of business may be two separate dates. This decision in the case of L.G. Electronics (supra) has been followed in CIT v. ESPN Software India P. Ltd., [2008] 301 ITR 368 (Delhi) wherein it has been held that a 2014:DHC:3835-DB ITA 257/2012…

Commissioner of Income Tax vs. Samsung India Electronics Ltd

The appeal is dismissed with costs

ITA/131/2010HC Delhi09 Jul 2013
Section 260ASection 37

…m, would be permissible deductions under section 10(2).” 7. The aforesaid distinction is relevant when we examine and refers to the definition of „previous year‟. Following the said judgment, in the case of CIT Vs. L.G. Electronic (India) Ltd. [2006] 282 ITR 545 (Delhi), it has been observed that the date of setting up of business and date of commencement of business may be two separate dates. This decision in the case of L.G. Electronics (supra) has been followed in CIT Vs. ESPN Software India P. Ltd., [2008] 301 ITR 368 (Delhi) wherein it has been held that a business will “commence” with the f…

The Commissioner of Income Tax- I vs. M/s. Avon Organics Limited

ITTA/257/2012HC Telangana17 Jul 2012

Bench: GODA RAGHURAM,M.S.RAMACHANDRA RAO