14 March 2008
Whether travelling expenses for purchase of machinery which are capitalised along with the cost of machinery are liable to FBT in light of answers to Q.19 and Q.89 of CIRCULAR NO. 8/2005 of CBDT.
15 March 2008
But Q.89 of CIRCULAR NO. 8/2005 of CBDT says that the proximate objective is to acquire an asset and hence it should not be liable to FBT.
15 March 2008
U/S 115WB(2) is not liable for FBT for capital expenditure (except depreciaiton on motor cars or aircrafts )because the proximate purpose thereof is to acquire capital asset.
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