2016 (7) TMI 1639

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... therefore, its logo cannot be used by any other concern. The object of the Trust is not to do business. The assessee-company was established for the purpose of business. When the assessee-company used the logo belongs to Shritam Ownership Trust, this Tribunal is of the considered opinion that for the purpose of using the logo, the assessee has to necessarily make the payment. In the case befor .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... sideration is disallowance of royalty to the extent of ₹ 74,50,665/-. 3. Shri Shiva Srinivas, ld. Departmental Representative submitted that the assessee has paid ₹ 85,15,046/- to Shriram Ownership Trust for using their logo in the assessee s business. The Assessing Officer, however, treated the expenditure as capital in nature and allowed depreciation @ 12.5%. The CIT(A), howeve .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... rightly allowed the claim of the assessee as revenue expenditure. 5. We have considered the rival submissions on either side and also perused the material available on record. Shriram Ownership Trust is a Trust by itself, therefore, its logo cannot be used by any other concern. The object of the Trust is not to do business. The assessee-company was established for the purpose of business. Wh .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X