1 itxa242-10 IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.242 OF 2010 The Commissioner of Income Tax, Central-III ..Appellant. V/s. M/s. Mars Restaurant P. Ltd. ..Respondent. Mr. Suresh Kumar for appellant. Mr. Jitendra Jain with Jas Sanghvi i/b. PDS Legal for respondent. CORAM : J.P. DEVADHAR AND MRS. MRIDULA BHATKAR, JJ. DATED : 7TH FEBRUARY, 2011 P.C. :- 1. Three questions of law are raised by the Revenue in this appeal, which read as under:- (a) Whether on the facts and circumstances of the case and in law, the ITAT was justified in law and in upholding the order of the CIT (A) that the expenses incurred for purchase of crockery, cutlery, kitchen utensils, etc. amounting to Rs.48.6 lac as revenue expenses, even though the issue involved is whether the unutilized stock lying in closing stock can be allowed as deduction in the computation of income as per Income Tax Act ? (b) Whether on the facts and in the circumstances of the case, the ITAT was correct in upholding the order of the CIT(A) and also treating further relief to the assessee by treating financial 2 itxa242-10 advertisement and administrative expenses incurred on expansion programmed and also capitalized by the assessee in its books of a/c. as revenue expenditure ? (c) Whether on the facts and in the circumstances of the case, the ITAT was correct in law in upholding the order of the CIT(A) and also granting further relief with respect of disallowances made by the AO on account of expenditure on renovation of premises not owned by the assessee ? 2. Perusal of the order of the ITAT, particularly paragraph Nos. 6, 12 & 18 clearly shows that the Tribunal has held that the expenditure incurred by the assessee for running the hotel business was a revenue expenditure. The decision of the Tribunal is based on finding of fact. No case is made out for taking a contrary view. In this view of the matter, we see no merit in the appeal and the same is hereby dismissed with no order as to costs. (MRS. MRIDULA BHATKAR, J.) (J.P. DEVADHAR, J.)