Expenditure in raising loans or issuing debentures would be revenue in nature

Tata Industries Ltd. Vs. ACIT (ITAT Mumbai)

Expenditure in raising loans or issuing debentures would be revenue in nature, irrespective of whether the borrowal is a long term or short term one.

Dis allowance of expenditure in the shape of upfront fees and brokerage etc. paid for issuing the non-convertible debentures. The AO concluded that since the term of the debentures was spread over two years, hence benefit arrived at by the assessee was of

Please become a Premium member. If you are already a Premium member, login here to access the full content.