2006 (7) TMI 180

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... section 260A of the Income-tax Act, 1961, aggrieved by the order of the Tribunal, Cochin Bench in I. T. A. No. 826/Coch/1995. Following is the question of law raised: "Whether, on the facts and circumstances of the case, was the Tribunal justified in holding that the amount of Rs. 45,000 paid by the assessee for taking institutional membership in the Cochin Yacht Club is a capital expenditure n .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... confirmed the disallowance made by the Assessing Officer. Aggrieved by the same this appeal has been preferred. We are in agreement with the view of the Tribunal that the expenditure effected by the assessee is capital in nature. Once the assessee pays the amount to a club for membership, it is a payment once and for all, resulting in an enduring benefit to the institution. The mere fact that th .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X