Assessee Company had incurred expenses on expansion and renovation for 3 of its premises, out of which 2 were leased premises and 1 was owned premises. The expenses incurred were stated to be towards accommodating managing director and executive directors at one of its premises, at other premises it was towards reconfiguring the space to accommodate more employees, and were claimed under the head Repairs & maintenance expenses u/s 37(1) of the Act.  A.O held that the expenses were in the nature of capital expenditure leading to major renovation or erection of assets.  Held that the expenditure incurred for maintaining its business, for increasing its efficiency and for preserving its already existing asset, and thus revenue in nature, and allowable  (AY. 2008-09)