Assessee has  paid annual and subscription fee to a club and claimed as revenue expenditure. The Assessing Officer  issued notice under section. 148 on the ground that   a reason to believe that amount was paid towards entrance and subscription fees to a club (WSC) but Schedule 9 of profit and loss account only enumerated membership and subscription and did not disclose anywhere which club it was. The  assessee had given a breakup of entrance fees and subscription fees for 1 year and Schedule 9 itself disclosed that said payment was recurring in nature. On writ the Court held that  the expenditure would be revenue expenditure because it had been incurred wholly and exclusively for purposes of business and would facilitate smooth and efficient running of business and did not add to profit earning apparatus of business enterprise. Reassessment notice and order disposing the objection is quashed.  (AY. 2008-09)