COMMISSIONER OF INCOME TAX Vs. RAYCHEM RPG LTD

JUDGEMENT

(1.) Two questions of law raised by the Revenue in this appeal, which reads thus:

(2.) As regards the first question, ITAT relying upon on its order in the Assessee's own case relating to Assessment year 2001-02 held that the software expenditure was a revenue expenditure. The appeal filed by the Revenue for the assessment year 2001 and 2002 has been dismissed for want of removal of office objections and thus the order passed by the ITAT for the Assessment year 2001-2002 has attained finality. Moreover, the Tribunal in its order relating the assessment year 2001-02 has allowed expenditure as revenue expenditure by recording thus:

(3.) In our view, no fault can be found in the aforesaid order of ITAT holding that software expenditure was allowable as revenue expenditure.