TMI Blog2010 (4) TMI 826X X X X Extracts X X X X X X X X Extracts X X X X ..... nt to revenue expenditure only because it is necessary for the survival of the business of the assessee-company - Held that:- Commissioner of Income-tax (Appeals) that this can be treated as an expenditure incurred on account of business exigency. deletion confirmed. - ITA NO. 1841 (MAD.) OF 2009 AND C.O. NO 7 (MAD.) OF 2010 - - - Dated:- 30-4-2010 - SHRI N. BARATHVAJA SANKAR, AND SHRI HARI OM MARATHA, JJ. Represented By: Shri Tapas Kumar Dutta for the Appellant. Shri G. Seetharaman for the Respondent. Hari Om Maratha, Judicial Member The appeal by the Revenue and the cross-objection by the assessee are directed against the order of the learned Commissioner of Income-tax (Appeals) dated September 8, 2009, per ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and maintenance expenses. On perusal of the details, it was found that the above amount includes the following payments : (Rs.) "1. Ranipet Infrastructure Development Organisation P. Ltd. 12,41,000 2. Treated storage disposal facility 11,48,000 23,89,000" 4. The above payments were made on various dates to Ranitec towards the project cost of the company which is one of the common effluent treatment plants installed for the reverse osmosis plant and TSDF project (treatment, storage facility) under the Industrial Infrastructure Upgradation Scheme. It was found that the members have joined together and decided to instal common effluent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... therein to continue its business. The conditions include the following : "1. The unit shall co-operate with the CETP in implementing the directions as issued by the Board for installation of membrance technologies, R.O rejects management and scientific secured land till site and furnish the membership after obtaining clearance from the Government of India. 2. The unit shall implement the waste minimisation technologies in order to reduce the pollution load. 3. The unit shall operate and maintain the pre-treatment plant efficiently. 4. The unit shall keep good housekeeping. 5. The unit shall ensure that the product manufactured and quantity of trade effluent discharged within the consented quantity at all times. 6. The unit shal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as to run the unit and thereby contributing its share to Ranitec would amount to revenue expenditure only because it is necessary for the survival of the business of the assessee-company. We are in agreement with the learned Commissioner of Income-tax (Appeals) that this can be treated as an expenditure incurred on account of business exigency. We, therefore, confirm the impugned deletion. 8. As far as the addition of Rs. 41,701, which is the subject-matter of the cross-objection, is concerned, the same would not survive as the assessee has not pressed this ground before the learned Commissioner of Income-tax (Appeals) and has not controverted the finding contained in paragraph 6.2 at page 6 of the learned Commissioner of Income-tax (App ..... X X X X Extracts X X X X X X X X Extracts X X X X
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