Disallowance of expenditure as capital expenditure being 25% of ...

Royalty Payment Not Capital Expenditure: No Transfer of Control or Indefeasible Rights to Assessee.

April 14, 2022

Case Laws Income Tax AT

Disallowance of expenditure as capital expenditure being 25% of royalty amount paid - it cannot be said that the Sweden Company had relinquished its command over the impugned technical know-how information in favour of the assessee in any manner. In the absence of any vested advantage to assessee or any indefeasible right, it is farfetched to hypothetically presume any component of capital expenditure implicit in the outgo towards royalty. - there is no scope of treating the royalty paid for the 'licensed information' as capital expenditure in the facts of the case - AT

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Disallowance of expenditure as capital expenditure being 25% of ...

Royalty Payment Not Capital Expenditure: No Transfer of Control or Indefeasible Rights to Assessee.

April 14, 2022

Case Laws Income Tax AT

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