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2016 (10) TMI 1239 - AT - Income TaxPayment of royalty - revenue or capital expenditure - Held that:- We find that the Revenue has accepted the royalty as revenue expenditure in the preceding as well as subsequent years. Thus, there would be no justification for treating the same to be capital expenditure in some of the intervening years Case of Radhasoami Satsang Vs. CIT [1991 (11) TMI 2 - SUPREME COURT] would be squarely applicable to the facts of the assessee’s case because the payment of royalty in the case of the assessee is also on year to year basis on the net sales of the assessee and at no point of time, the assessee is entitled to become the exclusive owner of know-how and the trademark. - Decided against revenue
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