The expenditure incurred in connection therewith towards stamp duty, registration fees, lawyer's fees, etc. - Income Tax - 187/CBDT

INSTRUCTION NO 187/CBDT, Dated: July 6, 1970 Section(s) Referred: 37(1) Statute: Income - Tax Act, 1961 Please refer to Board's Circular F.No.32/6/62-IT(AI) dated 16th January, 1963. The instructions contained therein are not in confirmity with the decision of the Supreme Court in the case of India Cements Ltd. Vs. CIT(1966) 60 ITR 52. It has been laid down in the said decision that the act of borrowing money was incidental to the carrying on of business and the expenditure incurred in connection therewith towards stamp duty, registration fees, lawyer's fees, etc., is allowable as revenue expenditure. 2. The instructions contained in Board's Circular F.No.32/6/62-IT(AI) dated 16-1-1963 are hereby withdrawn.