2004 (4) TMI 600

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..... determination : 1. Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was right in law in holding that the quarry lease rent paid to the Government for acquiring the right to excavate the granite on lease for ten years is capital expenditure ? 2. Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was .....

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..... e, the appellate authority was of the opinion that no enduring asset had been obtained and the proportionate rent for the period in question was considered as revenue expenditure. Being aggrieved, the matter was taken to the Income-tax Appellate Tribunal by the Revenue. The Income-tax Appellate Tribunal relying upon the decision reported in Pingle Industries Ltd. v. CIT [1960] 40 ITR 67 (SC), came .....

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..... ding the dead rent on the facts and circumstances of the said case had to be treated as revenue expenditure. Two decisions reported in Pingle Industries Ltd. v. CIT [1960] 40 ITR 67 (SC) and Gotan Lime Syndicate v. CIT [1966] 59 ITR 718 (SC) were subsequently considered by the Supreme Court in Aditya Minerals Pvt. Ltd. v. CIT [1999] 239 ITR 817. In the said case, the assessee had obtained lease in .....

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