Hindustan Aluminium Corporation Ltd. v. CIT

144 ITR 474High Court1983#893 most cited

What is Hindustan Aluminium Corporation Ltd. v. CIT authority for?

The Calcutta High Court held that a lump sum revenue expenditure, which is of a significant amount and provides benefits spread over several years, can be allowed as a deduction proportionately over the period of benefit. This approach prevents distortion of the profits of a single assessment year.

119

judgments rely on this decision, according to BharatTax’s citation analysis of 366,470 Indian tax judgments — from 2011 to 2025.

Also referred to as

Hindustan Aluminium Corporation Ltd. v. CIT · 144 ITR 474 · Calcutta High Court · revenue expenditure · deferred deduction · spreading expenditure · lump sum payment · technical assistance and training · deduction over period of benefit · Section 37 · business expenditure timing · proportionate deduction

Sections most often in play

Section 32(1)(iia)Section 32ACSection 37Section 40A(9)Section 10B(8)Section 194Section 194ASection 32AD

Issues it is cited on

section 80ib(2)section 11bsection 80ib(4)section 10(2)(xv)section 36(l)(iii)section 92b(1)section 92(1)section 36(l)initial assessment yearlegal expensessection 43(1)section 80hhc

Judgments citing Hindustan Aluminium Corporation Ltd. v. CIT

The Dy.Commissioner of Income-Tax, Jammu vs. M/S Fill Industries, Srinagar

In the result appeal of the assessee ground no 4 to 4

ITA 291/ASR/2015[2004-05]Status: DisposedITAT Amritsar24 Feb 2023AY 2004-05

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Section 143(3)Section 250Section 32Section 43(1)Section 80I

…ar year to spread and claim it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. v. CIT [1983] 144 ITR 474 (Cal), the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. Issuing debentures at a discount is another such instance where, although the assessee has incurred the liabi…

The Dy.Commissioner of Income-Tax, Jammu vs. M/S Fill Industries, Srinagar

In the result appeal of the assessee ground no 4 to 4

ITA 290/ASR/2015[2003-04]Status: DisposedITAT Amritsar24 Feb 2023AY 2003-04

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Section 143(3)Section 250Section 32Section 43(1)Section 80I

…ar year to spread and claim it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. v. CIT [1983] 144 ITR 474 (Cal), the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. Issuing debentures at a discount is another such instance where, although the assessee has incurred the liabi…

The Dy.Commissioner of Income-Tax, Jammu vs. M/S Fill Industries, Srinagar

In the result appeal of the assessee ground no 4 to 4

ITA 289/ASR/2015[2002-03]Status: DisposedITAT Amritsar24 Feb 2023AY 2002-03

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Section 143(3)Section 250Section 32Section 43(1)Section 80I

…ar year to spread and claim it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. v. CIT [1983] 144 ITR 474 (Cal), the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. Issuing debentures at a discount is another such instance where, although the assessee has incurred the liabi…

M/S Fil Industries Ltd, Srinagar vs. The Addl. Commissioner of Income Tax, Srinagar

In the result appeal of the assessee ground no 4 to 4

ITA 255/ASR/2015[2008-09]Status: DisposedITAT Amritsar24 Feb 2023AY 2008-09

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Section 143(3)Section 250Section 32Section 43(1)Section 80I

…ar year to spread and claim it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. v. CIT [1983] 144 ITR 474 (Cal), the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. Issuing debentures at a discount is another such instance where, although the assessee has incurred the liabi…

T. Sheshagiri Rao, Income Tax Officer, Ward-16(3, Hyderabad vs. Mytrah Wind Developers Private Limited, Hyderabad

In the result, the appeal of Revenue is dismissed

ITA 758/HYD/2020[2014-15]Status: DisposedITAT Hyderabad05 Jan 2023AY 2014-15

Bench: Shri R.K. Panda & Shri Laliet Kumarassessment Year: 2014-15 Income Tax Officer, Vs. M/S. Mytrah Wind Developers Private Limited, Ward – 16(3), Gachibowli, Hyderabad. Hyderabad. Pan : Aaicm1274H. (Appellant) (Respondent) Assessee By: Shri K.C. Devdas, C.A. Revenue By: Shri Rajendra Kumar – Cit Dr 28.12.2022 Date Of Hearing: Date Of Pronouncement: 05.01.2023

For Appellant: Shri K.C. Devdas, C.AFor Respondent: Shri Rajendra Kumar – CIT DR
Section 115JSection 142(1)Section 143(1)Section 143(2)Section 143(3)

…articular year to spread and claim over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of the year. Thus, in the case of Hindustan Aluminium corporation ltd vs CIT reported in 144 ITR 474 Calcutta, the Calcutta high court upheld the claim of the asses see to spread out a lumpsum payment to secure technical assistance and training for a number of years and allowed a proportionate deduction in the accounting year in the question. Recently, the Kerala high court in Commissioner of Income Tax cochin Vs Apollo Tyres reported in 447 ITR…

Lifecell International Pvt Ltd., Chennai vs. ACIT, Chennai

In the result, appeal filed by the assessee is dismissed

ITA 3334/CHNY/2019[2016-17]Status: DisposedITAT Chennai04 Jan 2023AY 2016-17

Bench: Shri V. Durga Rao & Shri G. Manjunathaआयकर अपील सं./Ita No.: 3334/Chny/2019 िनधा"रण वष" / Assessment Year: 2016-17 M/S. Lifecell International Assistant Commissioner Of Private Ltd., V. Income Tax, No. 26, Vandalur Corporate Circle 4(1), Kelambakkam Main Road, Chennai. Keelakkottaiyur, Chennai. [Pan: Aaeca-7997-B] (अपीलाथ"/Appellant) (""यथ"/Respondent) अपीलाथ" क" ओर से/Appellant By : Shri. Ajith Kumar Choradia, Ca ""यथ" क" ओर से/Respondent By : Shri. S. Senthil Kumaran, Cit सुनवाई की तारीख/Date Of Hearing : 23.11.2022 घोषणा की तारीख/Date Of Pronouncement : 04.01.2023 आदेश /O R D E R

For Appellant: Shri. Ajith Kumar Choradia, CAFor Respondent: Shri. S. Senthil Kumaran, CIT

…आयकर अपीलीय अिधकरण, ‘बी’ "यायपीठ, चे"ई IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH, CHENNAI "ी वी दुगा" राव, "याियक सद"य एवं "ी जी. मंजुनाथ, लेखा सद"य के सम" BEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER AND SHRI G. MANJUNATHA, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.: 3334/Chny/2019 िनधा"रण वष" / Assessment Year: 2016-17 M/s. Lifecell International Assistant Commissioner of Private Ltd., v. Income Tax, No. 26, Vandalur Corporate Circle 4(1), Kelambakkam Main Road, Chennai. Keelakkottaiyur, Chennai. [PAN: AAECA-7997-B] (अपीलाथ"/Appellant) (""यथ"/Respondent) अपीलाथ" क" ओर से/Appellant by : Shri. Ajith Kumar Cho…

DCIT (Ltu) 1, Mumbai vs. Ambuja Cements Ltd, Mumbai

In the result, the appeal of the revenue is thus dismissed

ITA 3307/MUM/2015[2008-09]Status: DisposedITAT Mumbai07 Nov 2022AY 2008-09
Section 115JSection 14Section 143(3)Section 14A

…he premise that the expenses incurred on the said projects /assets written off in the accounts is an incidental business loss in view of the decision of CIT -vs.- Graphite India Ltd (1996) 221 ITR 420 (Cal), Hindustan Aluminum Corporation Ltd -vs.- CIT (1986) 159 ITR 673 (Cal) and Asiatic Oxygen Limited -vs.- CIT (1991) 190 ITR 328 (Cal.) B. Contention of the A.O 1.0 The AO in the order u/s 143(3) disallowed the claim of the appellant without raising any query on the contention that the same is capital in nature. C. Submission ITA Nos.2968/Mum/2015 & 1665/Mum/2019 ITA Nos. 3307/Mum/2015 & 2428/Mum/2019 Assessmen…

Ambuja Cements Ltd ( Formerly Known As Gujarat Ambuja Cements Ltd), Mumbai vs. Addl CIT 3(1), Mumbai

In the result, the appeal of the revenue is thus dismissed

ITA 2428/MUM/2013[2006-07]Status: DisposedITAT Mumbai07 Nov 2022AY 2006-07
Section 115JSection 14Section 143(3)Section 14A

…he premise that the expenses incurred on the said projects /assets written off in the accounts is an incidental business loss in view of the decision of CIT -vs.- Graphite India Ltd (1996) 221 ITR 420 (Cal), Hindustan Aluminum Corporation Ltd -vs.- CIT (1986) 159 ITR 673 (Cal) and Asiatic Oxygen Limited -vs.- CIT (1991) 190 ITR 328 (Cal.) B. Contention of the A.O 1.0 The AO in the order u/s 143(3) disallowed the claim of the appellant without raising any query on the contention that the same is capital in nature. C. Submission ITA Nos.2968/Mum/2015 & 1665/Mum/2019 ITA Nos. 3307/Mum/2015 & 2428/Mum/2019 Assessmen…

Snehal Mahendrakumar Shah, Ahmedabad vs. DCIT, Circle-4(2), Ahmedabad

In the result, the appeal of the assessee is dismissed

ITA 385/AHD/2019[2015-16]Status: DisposedITAT Ahmedabad15 Sept 2022AY 2015-16

Bench: Smt.Annapurna Gupta & Smt.Suchitra Kambleassessment Year :2015-16 Snehal Mahendrakumar Shah Vs. Dcit, Cir.4(2) 1-B, Avantika Society Ahmedabad. Nr.Naranpura Railway Crossing Opp: Sbi, Narangpura Ahmedabad Pan : Acps 5850 L अपीलाथ"/ (Appellant) "" यथ"/(Respondent) Assessee By : Shri Bandish Soparkar, Ar Revenue By : Shri Atul Pandey, Sr.Dr सुनवाई क" तार"ख/Date Of Hearing : 24/06/2022 घोषणा क" तार"ख /Date Of Pronouncement: 15/09/2022 आदेश/O R D E R Per Annapurna Guptapresent Appeal Has Been Filed By The Assessee Against Order Passed By The Ld. Commissioner Of Income-Tax(Appeals)-4, Ahmedabad [Hereinafter Referred To As “Ld.Cit(A) Under Section 250(6) Of The Income Tax Act, 1961 ("The Act" For Short) Dated 7.1.2019 Pertaining To The Asst.Year 2015-16. 2. Sole Issue In The Present Appeals Relates To Claim Of Education Expenses Of The Daughter Of The Assessee, Which Was Denied By The Authorities Below Holding The Same To Be Personal In Nature & Alternatively Capital In Nature.

For Appellant: Shri Bandish Soparkar, ARFor Respondent: Shri Atul Pandey, Sr.DR
Section 250(6)

…आयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरण, अहमदाबाद "यायपीठ आयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरण अहमदाबाद "यायपीठ अहमदाबाद "यायपीठ ‘SMC’ अहमदाबाद। अहमदाबाद "यायपीठ अहमदाबाद। अहमदाबाद। अहमदाबाद। IN THE INCOME TAX APPELLATE TRIBUNAL “SMC” BENCH, AHMEDABAD BEFORE SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER AND SMT.SUCHITRA KAMBLE, JUDICIAL MEMBER Assessment Year :2015-16 Snehal Mahendrakumar Shah Vs. DCIT, Cir.4(2) 1-B, Avantika Society Ahmedabad. Nr.Naranpura Railway Crossing Opp: SBI, Narangpura Ahmedabad PAN : ACPS 5850 L अपीलाथ"/ (Appellant) "" यथ"/(Respondent) Assessee by : Shri Bandish Soparkar, AR Revenue by : Shri…

Mafatlal Industries Limited, Mumbai vs. ACIT-6(3), Mumbai

In the result, appeal filed by the assessee is allowed

ITA 4369/MUM/2013[2008-09]Status: DisposedITAT Mumbai25 Jul 2022AY 2008-09

Bench: Shri Amit Shukla, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

For Appellant: Arati Vissanji &For Respondent: Nimesh Yadav
Section 143(3)Section 14ASection 36(1)(iii)

…e Tribunal found that the expenditure did not result in bringing into existence any capital asset of enduring in nature. The Tribunal further found that the decision of the Calcutta High Court in the case of Hindusthan Aluminium Corporation Ltd. v. CIT [1986] 159 ITR 673 26 ITA NO. 6085 & 6357/MUM/2011 (A.Y. 2006-07) ITA.NO. 6963 & 6855/MUM/2012 (A.Y. 2007-08) ITA.NO. 4369 & 4596/MUM/2013 (A.Y. 2008-09) M/s. Mafatlal Industries Limited was applicable and following that decision held that the expenditure was allowable as incurred wholly and exclusively for the purpose of the assessee's business. Therefore, the Tr…

Mafatlal Industries Ltd, Mumbai vs. Asst CIT 6(3), Mumbai

In the result, appeal filed by the assessee is allowed

ITA 6963/MUM/2012[2007-08]Status: DisposedITAT Mumbai25 Jul 2022AY 2007-08

Bench: Shri Amit Shukla, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

For Appellant: Arati Vissanji &For Respondent: Nimesh Yadav
Section 143(3)Section 14ASection 36(1)(iii)

…e Tribunal found that the expenditure did not result in bringing into existence any capital asset of enduring in nature. The Tribunal further found that the decision of the Calcutta High Court in the case of Hindusthan Aluminium Corporation Ltd. v. CIT [1986] 159 ITR 673 26 ITA NO. 6085 & 6357/MUM/2011 (A.Y. 2006-07) ITA.NO. 6963 & 6855/MUM/2012 (A.Y. 2007-08) ITA.NO. 4369 & 4596/MUM/2013 (A.Y. 2008-09) M/s. Mafatlal Industries Limited was applicable and following that decision held that the expenditure was allowable as incurred wholly and exclusively for the purpose of the assessee's business. Therefore, the Tr…

Mafatlal Industries Ltd, Mumbai vs. Addl CIT 6(3), Mumbai

In the result, appeal filed by the assessee is allowed

ITA 6085/MUM/2011[2006-07]Status: DisposedITAT Mumbai25 Jul 2022AY 2006-07

Bench: Shri Amit Shukla, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

For Appellant: Arati Vissanji &For Respondent: Nimesh Yadav
Section 143(3)Section 14ASection 36(1)(iii)

…e Tribunal found that the expenditure did not result in bringing into existence any capital asset of enduring in nature. The Tribunal further found that the decision of the Calcutta High Court in the case of Hindusthan Aluminium Corporation Ltd. v. CIT [1986] 159 ITR 673 26 ITA NO. 6085 & 6357/MUM/2011 (A.Y. 2006-07) ITA.NO. 6963 & 6855/MUM/2012 (A.Y. 2007-08) ITA.NO. 4369 & 4596/MUM/2013 (A.Y. 2008-09) M/s. Mafatlal Industries Limited was applicable and following that decision held that the expenditure was allowable as incurred wholly and exclusively for the purpose of the assessee's business. Therefore, the Tr…

Gmr Highways Limited, Bengaluru vs. Deputy Commissioner of Income Tax, Circle- 3(1)(2), Bangalore

In the result, Ground no. 1 raised for A

ITA 495/BANG/2020[2016-17]Status: DisposedITAT Bangalore25 May 2022AY 2016-17

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Yogesh A Thar, CA
Section 14ASection 201Section 234B

…it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. vs. CIT, (1982) 30 CTR (Cal) 363: (1983) 144 ITR 474 (Cal) the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. 16. Issuing debentures at a discount is another such instance where, although the assessee has incurred the lia…

Gmr Highways Limited, Bengaluru vs. Deputy Commissioner of Income Tax, Circle 3(1)(2), Bangalore

In the result, Ground no. 1 raised for A

ITA 1643/BANG/2019[2015-16]Status: DisposedITAT Bangalore25 May 2022AY 2015-16

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Yogesh A Thar, CA
Section 14ASection 201Section 234B

…it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. vs. CIT, (1982) 30 CTR (Cal) 363: (1983) 144 ITR 474 (Cal) the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. 16. Issuing debentures at a discount is another such instance where, although the assessee has incurred the lia…

Assistant Commissioner of Income Tax, Central Circle-2(2), Bengaluru vs. M/S. Gmr Infrastructure Limited, Bengaluru

In the result, Ground no. 1 raised for A

ITA 1744/BANG/2017[2013-14]Status: DisposedITAT Bangalore25 May 2022AY 2013-14

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Yogesh A Thar, CA
Section 14ASection 201Section 234B

…it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. vs. CIT, (1982) 30 CTR (Cal) 363: (1983) 144 ITR 474 (Cal) the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. 16. Issuing debentures at a discount is another such instance where, although the assessee has incurred the lia…

Assistant Commissioner of Income Tax, Central Circle-2(2), Bangalore vs. M/S. Gmr Infrastructure Limited, Bengaluru

In the result, Ground no. 1 raised for A

ITA 1743/BANG/2017[2012-13]Status: DisposedITAT Bangalore25 May 2022AY 2012-13

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Yogesh A Thar, CA
Section 14ASection 201Section 234B

…it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. vs. CIT, (1982) 30 CTR (Cal) 363: (1983) 144 ITR 474 (Cal) the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. 16. Issuing debentures at a discount is another such instance where, although the assessee has incurred the lia…

Assistant Commissioner of Income Tax, Central Circle-2(2), Bengaluru vs. M/S. Gmr Infrastructure Limited, Bengaluru

In the result, Ground no. 1 raised for A

ITA 1742/BANG/2017[2011-12]Status: DisposedITAT Bangalore25 May 2022AY 2011-12

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Yogesh A Thar, CA
Section 14ASection 201Section 234B

…it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. vs. CIT, (1982) 30 CTR (Cal) 363: (1983) 144 ITR 474 (Cal) the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. 16. Issuing debentures at a discount is another such instance where, although the assessee has incurred the lia…

Assistant Commissioner of Income Tax Central Circle-2(2), Bangalore vs. M/S Gmr Infrastructure Ltd, Bangalore

In the result, Ground no. 1 raised for A

ITA 1741/BANG/2017[2010-11]Status: DisposedITAT Bangalore25 May 2022AY 2010-11

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Yogesh A Thar, CA
Section 14ASection 201Section 234B

…it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. vs. CIT, (1982) 30 CTR (Cal) 363: (1983) 144 ITR 474 (Cal) the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. 16. Issuing debentures at a discount is another such instance where, although the assessee has incurred the lia…

Gmr Infrastructure Ltd, Bangalore vs. Deputy Commissioner of Income Tax, Central Circle-2(2), Bangalore

In the result, Ground no. 1 raised for A

ITA 1705/BANG/2017[2010-11]Status: DisposedITAT Bangalore25 May 2022AY 2010-11

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Yogesh A Thar, CA
Section 14ASection 201Section 234B

…it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. vs. CIT, (1982) 30 CTR (Cal) 363: (1983) 144 ITR 474 (Cal) the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. 16. Issuing debentures at a discount is another such instance where, although the assessee has incurred the lia…

Gmr Infrastructure Ltd, Bangalore vs. Deputy Commissioner of Income Tax, Central Circle-2(2), Bangalore

In the result, Ground no. 1 raised for A

ITA 1622/BANG/2017[2011-12]Status: DisposedITAT Bangalore25 May 2022AY 2011-12

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Yogesh A Thar, CA
Section 14ASection 201Section 234B

…it over a period of ensuing years. In fact, allowing the entire expenditure in one year might give a very distorted picture of the profits of a particular year. Thus in the case of Hindustan Aluminium Corporation Ltd. vs. CIT, (1982) 30 CTR (Cal) 363: (1983) 144 ITR 474 (Cal) the Calcutta High Court upheld the claim of the assessee to spread out a lump sum payment to secure technical assistance and training over a number of years and allowed a proportionate deduction in the accounting year in question. 16. Issuing debentures at a discount is another such instance where, although the assessee has incurred the lia…