Allowing the appeal the Court held that Amortisation of preliminary expenses granted in initial year of expenditure cannot be withdrawn in subsequent year without disturbing the decision in the initial year. Followed, Dy. CIT v. Gujarat Narmada Valley Fertilizers co. ltd (2013) 356 ITR 460 (Guj.)(HC). (AY.2008-09)
Subex Ltd. v. CIT (2021) 439 ITR 495 / 2022) 285 Taxman 350 (Karn.)(HC)
S. 263 : Commissioner-Revision of orders prejudicial to revenue-Amortisation of preliminary expenses-Granted in initial year of expenditure-Deduction cannot be withdrawn in subsequent year. [S. 35D]