Lease rent cannot be classified as Capital merely for Lumpsum Payment for multiple years

ACIT Vs Balmer Lawrie & Co. Ltd. (ITAT Kolkata)

The issue under consideration is whether the Lease payment in advance for the period varied from 15 to 99 years considered as Capital Expenditure or Revenue Expenditure?

In the present case, the assessee has been claiming amortization of lease premium payments since earlier years and till AY 2002-03 no dispute arose between the parties. In the assessment for the AY 2003-04 the AO however disallowed the assessee’s amorti

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