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TMI Blog2020 (5) TMI 395X X X X Extracts X X X X X X X X Extracts X X X X ..... was considered by this Tribunal in [ 2018 (10) TMI 1163 - ITAT BANGALORE] the Tribunal held that expenditure in question was revenue expenditure and should be allowed as a deduction. - Decided in favour of assessee. - ITA No. 1135(Bang)/2019 - - - Dated:- 12-2-2020 - Shri N.V. Vasudevan, Vice President And Shri A.K. Garodia, Accountant Member For the Appellant : Smt. Shreya Loyalka, CA For the Revenue : Shri Manjeet Singh, Addl.CIT ORDER PER SHRI N.V.VASUDEVAN, VICE PRESIDENT : This is an appeal by the Assessee against the order dated 16-07-2018 of CIT(A)-11, Bangalore, relating to AY 2012-13. 2. The only issue that arises for consideration in this appeal is as to whether the revenue authorities were justif ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s can be seen from the above table the contribution has to be made over a period of 5 years. In the previous year relevant assessment year 2011-12 the assessee had contributed a sum of ₹ 1.55 Crores to the cricket academy. The question before the AO was whether the sum can be allowed as deduction while computing income. 5. The AO took the view that under the agreement assessee had marketing rights with regard to the Academy players, related rights i.e. with regard to admission of players and also the right to sign contracts of the players from the Academy. The AO was therefore, of the view that the expenditure in question would be capital in nature. He accordingly, disallowed the claim of assessee for deduction by observing as foll ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed to the total income of the assessee . 6. The Assessee was aggrieved by the aforesaid addition and it filed an appeal before the CIT(A). The CT(A) upheld the order of the AO. 7. Aggrieved by the order of CIT(A) Assessee has filed the present appeal before the Tribunal. 8. At the time of hearing of the appea,l it was brought to our notice by the learned counsel for the Assessee that in respect of an identical payment made by the assessee under the very same agreement for establishing cricket Academy for assessment year 2010-11, the issue was considered by this Tribunal in ITA No.59(B)/2015 and by an order dated 20-07-2018 the Tribunal held that expenditure in question was revenue expenditure and should be allowed as a deduction. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ith Clubs/ State sides/associations in South Africa/Australia/England. It is stated that at the time of admission of player to the Academy, the KSCA shall ensure that the player shall sign a contract giving the appellant first right to offer an uncapped player contract to recruit the player to play for the appellant. Thus, it is clear that the terms of contract re directly related to business interest of the assessee. Therefore, the contribution made for creation of cricket academy can be held to be in business interest and the same is allowable as deduction. Accordingly, we allow this ground of appeal . 9. The learned counsel for the Assessee submitted that the decision rendered by the Tribunal on identical facts under the very same ..... X X X X Extracts X X X X X X X X Extracts X X X X
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