2012 (12) TMI 896 - SCH - Income Tax

Cost of replacement of machinery - Revenue or capital in nature - Assessee is engaged in manufacture of yarn in Textile mill - Held that - Following the decision in case of SARAVANA SPINNING MILLS P. LTD.(2007 (8) TMI 16 - SUPREME COURT OF INDIA) that contention of revenue was correct and set aside assessee claim. In favour of revenue

Summary

The Supreme Court heard civil appeals related to expenditure incurred on machinery replacement. The judgments in previous cases were cited, leading to the disposal of the appeals in favor of the Department, with no costs awarded. The decision was based on the Income Tax Act, 1961.