The ITAT held that legal and professional expenses incurred for deciding on an investment are revenue...

The ITAT held that legal and professional expenses incurred for deciding on an investment are revenue expenditure, not capital. The AO erred in treating them as capital expenditure. The Tribunal emphasized assessing actual actions, not motives. Citing relevant case law, it allowed the expenses. Regarding interest expenses on a loan against property, the ITAT found them allowable as they were used for trading securities, a business purpose. The tax authorities erred in disallowing them. The ITAT allowed this ground in favor of the assessee. .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X