TMI Blog2014 (7) TMI 838X X X X Extracts X X X X X X X X Extracts X X X X ..... to food chain, is expenditure is incurred by the assessee in the existing line of its business - the expenditure incurred on consultancy have been held in COMMISSIONER OF INCOME TAX Versus M/s. SHELL BITUMEN INDIA (P) LTD. [2010 (8) TMI 19 - DELHI HIGH COURT] on account of revenue expenditure – there was no infirmity in the order of CIT(A) which it has been held that the expenditure were in the nature of revenue and could not be disallowed as capital expenditure – Decided against Revenue. - I.T.A. No.1694/Mum/2013 - - - Dated:- 29-5-2014 - Shri I. P. Bansal, (JM) And N. K. Billaiya (AM),JJ. For the Appellant : Shri Jitendra Yadav For the Respondent : Shri Jay Pande ORDER Per I. P. Bansal, JM: This appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uisition of Blue Foods Pvt Ltd. Since the assessee had capitalized acquisition of Blue Foods Pvt Ltd, the aforementioned amount of ₹ 20,35,380/- was also treated by the AO as actual cost which was also required to be capitalized. Accordingly, after granting benefit of depreciation at the rate of 12.5% which is computed at ₹ 2,54,422/-, the balance amount of ₹ 17,80,958/- was disallowed on account of the same being capital expenses and added the same to the total income of the assessee. 4. The addition of aforementioned amount was agitated in appeal filed before the ld. CIT(A). It was submitted that the said amount was paid for obtaining feasibility report from M/s J Sagar Associates. The object of expenditure was to mak ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e relief to the assessee. The disallowances was rightly made by AO and his order should be restored and the order of ld. CIT(A) be set aside. 6. On the other hand, it was submitted by ld. AR that the assessee has incurred this expenditure to obtain feasibility report in respect of purchase of brand from M/s Blue Foods Pvt Ltd. He submitted that ld. CIT(A) has rightly granted relief to the assessee. In addition to the decisions relied upon by the assessee before the ld. CIT(A), the ld AR also placed reliance on the decision of the Hon ble Delhi High Court in the case of CIT V/s M/s Shell Bitumen India (P) Ltd in ITA 815/2010 dated 11th August 2010. A copy of which was placed on record and the copy of same was given to ld. DR. In the sai ..... X X X X Extracts X X X X X X X X Extracts X X X X
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