Dismissing the appeal of the revenue the Tribunal held that once the certificate is issued by the competent authority for categorization of its hotel as three star hotel , entire capital expenditure is allowable as deduction.( AY.2012-13)
ACIT v. River View Hotels. (2018) 171 ITD 404 (Ahd) (Trib.)
S. 35AD: Deduction in respect of expenditure on specified business-Hotel business- Granted certification for categorization of its hotel as three star hotel -Entire capital expenditure is allowable as deduction .