Compensation Amount Unrelated to Sale Cost Cannot be Treated as Capital Expenditure u/s 37: ITAT [Read Order]

Compensation - Amount - Unrelated - Sale Cost - Treated - Capital Expenditure - ITAT - taxscan

The Delhi bench of the Income Tax Appellate Tribunal (ITAT) held that Compensation amount not having any relation with the cost towards the sale of area cannot be treated as capital expenditure under section 37 of the Income Tax Act. The assessee is a private limited company and said to be engaged in the business…

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