[2022] 141 taxmann.com 242 (Hyderabad – Trib.)
– NBFC converted Debt into Pref. Sh. under CDR and increased authorised Cap
– AO treated ROC exp. as Capital Exp. As the exp is related to the capital increase
– only the existing debts were restructured where CCPS were issued
– ITAT allowed on the grounds that such an increase was necessitated due to CDR as a statutory requirement
– Also there was no change in the capital employed as against the case of Brooke Bond India Ltd. (supra)