SUPREME COURT OF INDIA

 

New India Mining Corporation Pvt. Ltd.

Vs.

Commissioner of Income Tax

 

C.A.Nos.6714 and 6716-21 of 1994

 

(D.P.Wadhwa and N.Santosh Hedge JJ.)

 

15.02.2000

 

ORDER

 

The Text below is only a summarized version of the order pronounced

 

Government granted predecessor of appellant lease for period of 30 years on terms and conditions. No expenditure incurred by appellant for purpose of restoring the lease land to original condition. Lease agreement provided obligation for restoration of land to original condition. Assessee claimed estimated liability for restoration charges as deduction. Supreme Court held that such liability cannot be allowed as deduction as assessee had not incurred any expenditure for restoration charges.