Expense on Upgrade & Development of Product is Capital Expense

Bioplus Life Sciences Pvt. Ltd. Vs DCIT (Karnataka High Court) The issue under consideration is whether the expenditure incurred towards upgraded and development of a product was to be considered as capital expenditure or revenue expenditure? High Court states that when an expenditure is made, not only once and for all, but with a view to bringing into existence an asset or an advantage for the enduring benefit of trade, there is very good reason for treating such an expenditure as properly attributable not to revenue but to capital. The aim and object of the expenditure would determine the ch...