HC allows Commuted value of lease rent for 90 years as revenue expenditure

Coforge Limited (Formerly Known AS NIIT Technologies Ltd) Vs ACIT (Delhi High Court) Conclusion: Commuted value of lease rent at 11 times the rent payable for 90 years @ Rs 708913/- which amounted to Rs 7798042/- was deductible as expenditure in the year of payment as assessee chose to incur the liability of a crystallised amount in the period relevant to the AY in issue i.e. AY 2007-­2008, and therefore, it was entitled to seek deduction of the amount subject to fulfillment of specified conditions. Held: The issue arose for consideration was whether the Company which had opted to pay the com...