Subsidy received for establishing an industrial unit in backward area is capital receipt

PCIT Vs Nestle India Ltd (Delhi High Court) Delhi High Court held that subsidy received from Government of Goa for establishing an industrial unit in a backward area is capital receipt. Further, as subsidy was not intended to meet part of cost of assets, no adjustment against cost of asset could be ordered. Facts- Vide the present appeal, it contested that whether in the facts and circumstances of the case and law, Hon’ble ITAT is correct in confirming the order of CIT(A) directing that the amount of Rs.25,00,000/- received from Govt of Goa, as subsidy, be treated as capital in nature an...