will be a revenue receipt, while compensation received for loss of capital structure would be "capital receipt". Therefore, it is the agreement, which ... Thus, if the compensation is received for the loss of capital structure, it would be capital in nature, and if the compensation is received
accounts, a proper and accurate picture of the entire capital structure, borrowings, expenditure and receipts from all sources alone can be a safe basis ... distributors and the share capital from the partners was Rs.2,20,000/- and thus the total capital structure of the partnership at the relevant
These
receipts are inextricably linked with the setting up of the
capital structure of the assessee-company. They must,
therefore, be viewed as capital receipts ... against the
public issue expenses. The issue of share relates to capital
structure of the company and hence expenses incurred in
connection with the issue
storage tank was constructed, that would go to add to the capital structure of the assessee. The learned standing counsel also relied upon the decision
assets, even though he did not invest any capital in growing them, the capital structure of the assessee was affected and there was a diminution ... held that the sale of the trees affected the capital structure, because by removing the roots the source from which fresh growth of trees could
only where the expenditure bears on the fixed capital or other capital structure of the assessee that it can be regarded as capital in nature ... result had enlarged the assessee's fixed capital equipment of the capital structure. The assessee is no doubt in a position to keep
capital assets. The House of Lords held that the payment made was for a radical alteration of those capital assets & was therefore a capital ... fixed capital asset, it was attributable to capital, bat that if no alteration was made in the fixed capital asset by the payment, then
purchase of a business at a valuation is an item of capital outgoing, any expenditure incurred for the merging of the two business ... substantial addition to the capital equipment of a business or where there is an increase in the capital structure of an existing business, then
business ox the company and are treated as part of the capital structure. In this view, these two items have to be treated ... future use of the company so as to partake the character of capital. The said sum set apart for payment towards a specific liability cannot
India Act of 1955, it is clear that except for a capital structure and a policy control by Government, there is no other control
