Expenditure on Incease in Authorised Capital

hey thanks for asking this question...  :)
even i await the answer

[quote=1652]When authorised capital of an existing company is increased what is the treatment of the expenditure incurred on such increment? If treat it as revenue expenditure then is it allowable under Income Tax?[/quote]

[b]the expentiture incurred in the procedure is mostly taken as capital expenditure.
  1) bcoz as u are increasing liablity, and laiblity in never pass throubh p & l !!!!!!!!!11[/b][i][/i]

The One Says:

There are several case laws on this matter including 4 High Court Judgements and a Supreme Court ruling. Please refer to these.

[b]Jayp[/b] kindly if you would please expand on your post we can have a discussion on this matter.

Can you please tell the numbers of the judgement  so that we can refer the relevant books.  

As per my opinion, the Supreme Court in General Insurance Corporation (2006), Punjab State Industrial Development Corporation (1997), Brooke Bond (1997) has held that the expenditure incurred on the increase in authorised capital is not covered under section 35D. Also, the expenditure cannot be treated as Deferred Expenditure to be amortised over a period of years. So, the whole of such expenditure is disallowed at the time of computation of income tax.

It is true that such exp is not covered by S 35 D. Whether the same can be claimed u/s 37?

such expenditure is not allowed under Income tax Act.

:) :) :) :) :) :)

Dear All,

can everyone send me Form 16 &  Form 16 A in Excel Format ?

you can set off like deffered revenue exp.

You are doing an awesome work related to the sector.

I also advice people on different subject like company registration, trademark search etc.

Thank you a lot