Public Issue expenses is capital expenditure & not allowable as revenue expense

Tatia Sky Line & Health Farms Ltd. Vs ACIT (Madras High Court) Conclusion: Expenses incurred by assessee for Public Issue was not allowable as revenue expenditure as assessee miserably failed to establish the tenability and truthfulness of its claim that the expenditure was revenue in nature. Held:  Assessee, a public limited company, was in the business of running health farms and resorts. For the assessment year under consideration, assessee, in its return of income, claimed a sum of Rs.1,89,84,676/- as revenue expenditure. AO called upon the assessee to furnish details to which, assess...