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The taxpayer in[2020] 16 ITR-OL 468 (Mad) made claim for deduction of large expenditure totalling 11 crores on perfecting the development of new design of moulds for auto components to the satisfaction of its customer.
The Court held that such expenditure was incurred in the ordinary course of business as it involves a constant process of perfecting the process of manufacturing the components.
What played importance in this case was that the new development as well as and existing manufacturing both were undertaken using the existing line of plant and machinery.

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