Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | ncome-Tax Act 1961: c s. 37 - Business Expenditure - Deduction - Certain amount claimed as revenue expenditure by the Association of persons constituted by partners of the erstwhile firm |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Disposed Off |
Headnote | Income-Tax Act, 1967: s. 37 — Business Expenditure ~ Deduction — Certain amount claimed as revenue expenditure by the Association of persons constituted by partners of the erstwhile firm — Deduction u/s. 37, as being laid out or expended wholly and exclusively for the purpose of business of the Association of Persons — Permissibility of — Held: Amount claimed as revenue expenditure by Association of persons can be allowed as permissible deduction by them u/s. 37 of the Act - Concer was‘a going concern and thus, the legal expenses incurred were for defending the business of the going concem and for protecting its interests —- Expenses were not personal in nature, nor the expenses were unreasonable or not bona fide. S. 32 ws. 43(3) — Depreciation — Benefit of s. 32 r/ws. 43(3) — Entitlement to — Held: For the purposes of a large business, control over intellectual property rights-brand name, trademark is absolutely necessary — Acquisition of such rights and know-how is acquisition of a capital nature — intellectual property such as trademarks, copyrights and know-how come within the definition of ‘plant’ — Thus, the trademarks, copyrights and know-how acquired by assessee would come within the definition of ‘plant’— s. 32 as it stood at the relevant time did not make any distinction between tangible and intangible assets for the purposes of depreciation — Assessee is entitled to the benefit of depreciation on plant-trademarks, copyrights and know-how, in terms of s. 32 - On facts, the tribunal was justified in directing the Assessing Officer to capitalize the value of trademarks, copyright and technical know-how by treating the same as plant and machinery. and grant depreciation. Disposing of the appeals, the Court |
Judge | Hon'ble Mr. Justice Madan Bhimarao Lokur |
Neutral Citation | 2015 INSC 778 |
Petitioner | M/s. Mangalore Ganesh Beedi Works |
Respondent | Commissioner Of Income Tax, Mysore &anr. |
SCR | [2015] 13 S.C.R. 1080 |
Judgement Date | 2015-10-15 |
Case Number | 10547-10548 |
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