IBM India Ltd. v. CIT

181 CTR 378High Court2003#10283 most cited

What is IBM India Ltd. v. CIT authority for?

Expenditure incurred on maintenance of computers, their upgradation, and software development is revenue expenditure, not capital expenditure.

10

judgments rely on this decision, according to BharatTax’s citation analysis of 366,314 Indian tax judgments — from 2015 to 2026.

Also referred to as

CIT vs K & Co. 181 CTR 378 · revenue expenditure · capital expenditure · computer maintenance · software upgradation · development of software

Judgments citing IBM India Ltd. v. CIT

Hcl Technologies Ltd., New Delhi vs. ACIT, New Delhi

The appeal is allowed as indicated above

ITA 5465/DEL/2011[2007-08]Status: DisposedITAT Delhi15 Apr 2026AY 2007-08

Bench: Shri Vikas Awasthy & Shri Brajesh Kumar Singh

Section 10ASection 143Section 144Section 144C(13)

…td. Act. The aforesaid expenditure on computer so"ware, it is submi"ed, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co: 181 CTR 378 held that the order of the Tribunal holding that expenditure incurred by assessee on maintenance of computer and their upgrada"on including development of so"ware was in the nature of revenue expenditure and did not give rise to any substan"al ques"on of law. Reliance is also placed in the case of CIT vs GE Capital Services Ltd reported in (2008…

Hcl Technologies Ltd, New Delhi vs. ACIT, New Delhi

The appeal is allowed as indicated above

ITA 5624/DEL/2010[2006-07]Status: DisposedITAT Delhi15 Apr 2026AY 2006-07

Bench: Shri Vikas Awasthy & Shri Brajesh Kumar Singh

Section 10ASection 143Section 144Section 144C(13)

…td. Act. The aforesaid expenditure on computer so"ware, it is submi"ed, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co: 181 CTR 378 held that the order of the Tribunal holding that expenditure incurred by assessee on maintenance of computer and their upgrada"on including development of so"ware was in the nature of revenue expenditure and did not give rise to any substan"al ques"on of law. Reliance is also placed in the case of CIT vs GE Capital Services Ltd reported in (2008…

Alcatel Lucent India Ltd., Gurgaon vs. DCIT, New Delhi

In the result, both the appeals of the assessee are allowed

ITA 5554/DEL/2011[2007-08]Status: HeardITAT Delhi16 Aug 2021AY 2007-08

Bench: Sh. Amit Shukladr. B. R. R. Kumar

For Appellant: Sh. Nageshwar Rao, AdvFor Respondent: Sh. Surenderpal, CIT DR
Section 10ASection 133(6)Section 143(3)Section 920(3)Section 92D

…s/2006 (Chennai ITAT)  CIT Vs G.E. Capital Services ltd. (2007) 164 Taxman 46 (Del.)  Amway India Enterprises Vs DCIT & SQL Star International Ltd. Vs ACIT (2008) 111 ITD (Delhi -SB)  IBM India Ltd. Vs CIT (2006) 290 ITR 183 (Bang.)  CIT Vs K & Co. (2003) 181 CTR 378 (Del.)  Addl. CIT Vs Asahi India Safety Glass (2006) 6 SOT 656 (Del.)  ITO Vs Shivani Locks Ltd. (2008) 22 SOT 122 (Del.) 28. Heard the arguments of both the parties and perused the material available on record. 29. We have gone through the various judgments relied upon by both the parties. We have also gone the judgment of Hon’ble Apex Court…

Alcatel Lucent India Ltd., Gurgaon vs. DCIT, New Delhi

In the result, both the appeals of the assessee are allowed

ITA 5553/DEL/2011[2007-08]Status: HeardITAT Delhi16 Aug 2021AY 2007-08

Bench: Sh. Amit Shukladr. B. R. R. Kumar

For Appellant: Sh. Nageshwar Rao, AdvFor Respondent: Sh. Surenderpal, CIT DR
Section 10ASection 133(6)Section 143(3)Section 920(3)Section 92D

…s/2006 (Chennai ITAT)  CIT Vs G.E. Capital Services ltd. (2007) 164 Taxman 46 (Del.)  Amway India Enterprises Vs DCIT & SQL Star International Ltd. Vs ACIT (2008) 111 ITD (Delhi -SB)  IBM India Ltd. Vs CIT (2006) 290 ITR 183 (Bang.)  CIT Vs K & Co. (2003) 181 CTR 378 (Del.)  Addl. CIT Vs Asahi India Safety Glass (2006) 6 SOT 656 (Del.)  ITO Vs Shivani Locks Ltd. (2008) 22 SOT 122 (Del.) 28. Heard the arguments of both the parties and perused the material available on record. 29. We have gone through the various judgments relied upon by both the parties. We have also gone the judgment of Hon’ble Apex Court…

Triveni Engineering & Industries Ltd., Noida vs. ACIT, New Delhi

ITA 1959/DEL/2016[2005-06]Status: DisposedITAT Delhi06 Aug 2020AY 2005-06

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

Section 115JSection 143(1)Section 143(2)Section 14A

…) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred by assessee on maintenance of computer and their upgradation including development of software was in the nature of revenue expenditure and did not give rise to any substantial question of law. The Ld. AR relied on the decision of Hon’ble Delhi High Court in the case of CIT v…

Triveni Engineering & Industries Ltd., Noida vs. ACIT, New Delhi

ITA 1958/DEL/2016[2004-05]Status: DisposedITAT Delhi06 Aug 2020AY 2004-05

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

Section 115JSection 143(1)Section 143(2)Section 14A

…) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred by assessee on maintenance of computer and their upgradation including development of software was in the nature of revenue expenditure and did not give rise to any substantial question of law. The Ld. AR relied on the decision of Hon’ble Delhi High Court in the case of CIT v…

Triveni Engineering & Industries Ltd., Noida vs. ACIT, New Delhi

ITA 1957/DEL/2016[2003-04]Status: DisposedITAT Delhi06 Aug 2020AY 2003-04

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

Section 115JSection 143(1)Section 143(2)Section 14A

…) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred by assessee on maintenance of computer and their upgradation including development of software was in the nature of revenue expenditure and did not give rise to any substantial question of law. The Ld. AR relied on the decision of Hon’ble Delhi High Court in the case of CIT v…

Triveni Engineering & Industries Ltd., Noida vs. ACIT, New Delhi

ITA 1956/DEL/2016[2002-03]Status: DisposedITAT Delhi06 Aug 2020AY 2002-03

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

Section 115JSection 143(1)Section 143(2)Section 14A

…) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred by assessee on maintenance of computer and their upgradation including development of software was in the nature of revenue expenditure and did not give rise to any substantial question of law. The Ld. AR relied on the decision of Hon’ble Delhi High Court in the case of CIT v…

Triveni Engineering & Industries Ltd., Noida vs. Addl. CIT, New Delhi

ITA 1955/DEL/2016[2001-02]Status: DisposedITAT Delhi06 Aug 2020AY 2001-02

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

Section 115JSection 143(1)Section 143(2)Section 14A

…) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred by assessee on maintenance of computer and their upgradation including development of software was in the nature of revenue expenditure and did not give rise to any substantial question of law. The Ld. AR relied on the decision of Hon’ble Delhi High Court in the case of CIT v…

Infomedia 18 Ltd ( Formerly Known As Infomedia India Ltd), Mumbai vs. Addl CIT RG 6(1), Mumbai

ITA 4441/MUM/2009[2005-06]Status: DisposedITAT Mumbai24 Nov 2015AY 2005-06

Bench: Shri Joginder Singh & Shri Ramit Kocharआयकर अपील सं./I.T.A. No. 4441/Mum/2009 ("नधा"रण वष" / Assessment Year : 2005-06)

For Respondent: Shri Samuel Darse (D.R)
Section 142Section 143(2)Section 143(3)Section 14ASection 14A(2)

…ase of GE Capital Services Limited 164 Taxmann 46(Del.) and with respect to expenditure incurred on the upgradation of software , the issue is decided in favour of the assessee company by decision of Hon’ble Delhi High Court in the case of K & Co. reported in 181 CTR 378(Del.) and Delhi Special Bench in the case of Amway India Enterprises reported in 111 ITD 112(Del.) ( SB).While the CIT(A) held that Rs. 78,700/- are capital expenditure being spent on batteries and replacement of monitors and not allowable as Revenue expenditure as claimed by the assessee company in the return of income filed with the Revenue. 1…

IBM India Ltd. v. CIT (181 CTR 378) — Cited in 10 Judgments | BharatTax