COMMISSIONER OF INCOME TAX Vs. G.E. CAPITAL SERVICES LTD.
LAWS(DLH)-2007-7-293
HIGH COURT OF DELHI
Decided on July 10,2007

COMMISSIONER OF INCOME TAX Appellant
VERSUS
G.E. Capital Services Ltd. Respondents

JUDGEMENT

- (1.) ALLOWED , subject to all just exceptions. CM stands disposed of. IT Appeal No. 560 of 2007
(2.) THE revenue is aggrieved by an order dated 25 -8 -2006 passed by the Income Tax Appellate Tribunal, Delhi Bench 'C in ITA Nos. 2038,2528 and 2529/Delhi/2002 relevant for the assessment years 1995 -96 to 1997 -98. The only question that has arisen in this case pertaining to the assessment year 1997 -98 is that expenditure incurred by the assessed on software was treated by the assessing officer as capital expenditure. The Tribunal was of the view that due to technological changes and the need to upgrade the software on a regular basis it cannot be said that the software was of an enduring nature.
(3.) WE are informed that the software for which the expenditure was incurred was MS Office, which is not a custom built software for the assessed and it is common knowledge that this software requires regular up gradation.;


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