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2014 (3) TMI 953 - ITAT MUMBAIDeduction towards market research expenses under section 37(1) - Capital expenditure or Revenue expenditure - Held that:- Admittedly, the assessee is not a manufacturer but a trader only. The activity of the assessee, being the purchase and further sale of equipment and earning of commission upon such sales cannot be said in any way to be manufacturing activity but a trading activity only. The market research was done by the assessee for the betterment and expansion of its trading business. The expenditure incurred on the market research by a trader cannot be said to have brought into existence anything of enduring benefit in the sense of a capital asset. In view of the settled position of law on this issue as laid down by the hon'ble High Courts of Bombay and Calcutta in the cases of CIT v. Glenmark Pharmaceutical Ltd. [2013 (1) TMI 488 - BOMBAY HIGH COURT] and CIT v. Ananda Bazar Patrika (P) Ltd [1989 (2) TMI 19 - CALCUTTA High Court] - Decided in favour of assessee.
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