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2014 (7) TMI 693 - HC - Income TaxExpenses on cast reusable iron moulds – Revenue expenses or not - Whether in the nature of manufacturing process carried out by the assessee, where the shell life of the cast iron ingot moulds, which is used for about 30 to 40 times and, thereafter, scrapped, could be taken as capital asset or a revenue asset – Held that:- The Tribunal after considering the nature of manufacturing process, the user of goods, the period of its shell life and the nature of its use, which is having short shelf life rightly held that the goods, i.e. cast iron ingot moulds are to be treated as revenue expenditure and not as capital expenditure, moulds do not have enduring life, which will be a parameter for considering the same as capital expenditure - The short shelf life of the cast iron ingot moulds, which is to be purchased on regular basis as if it is a part of the stores of spares was treated by the Tribunal as revenue expenditure and not capital expenditure - no subatanital question of law arises for consideration – Decided against Revenue.
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