Held that increase in authorized capital was necessitated due to CDR. Under said CDR there was no fresh inflow of funds but only existing debts were restructured whereby OCCRPS were issued. There was no acquisition of any kind of enduring advantage. Allowable as revenue expenditure (AY. 2012-13)
Spandana Sphoorty Financial Ltd. v. DCIT (2022) 196 ITD 217 / 217 TTJ 837 / 214 DTR 121 (Hyd.)(Trib.)
S. 37(1) : Business expenditure-Fees-ROC-Capital or revenue-Debt restructuring-Increase in authorised capital and annual remuneration paid to monitoring institution under CDR-Allowable as revenue expenditure.