2009 (11) TMI 582

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... r date, the expenditure incurred on such convertible debenture has to be treated as a revenue expenditure - Decided in the favour of assessee - 377 of 2004 - - - Dated:- 16-11-2009 - MANJUNATH K. L., ARAVIND KUMAR, JJ JUDGMENT The judgment of the court was delivered by K. L. Manjunath, J.- 1. The Revenue has come up in this appeal under section 260A of the Income-tax Act 1961 .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... e issue expenditure of Rs. 21,35,500. The said claim was disallowed by the Assessing Officer by his order dated February 8, 1996. Aggrieved by the same, the assessee preferred an appeal before the Commissioner of Income-tax (Appeals) and a relief was given to the assessee in respect of non-convertible debentures treating it as a revenue expenditure and disallowed the claim in regard to the convert .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... enture were to be converted into share at a later date, the expenditure incurred on such convertible debenture has to be treated as a revenue expenditure. The order of the Jodhpur Bench was taken up before the hon'ble Supreme Court in Special Leave Appeal CC 10548 of 2009. The hon'ble apex court has dismissed the special leave petition. 6. Therefore, we are of the view that the point raised in .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X