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capital expenditure

Defined in 1 dictionary — Case Law

Definitions from Case Law

From 403 U.S. 345 - Commissioner of Internal Revenue v. Lincoln Savings and Loan Association · 1971Most cited · 661 citing opinions

[T]he payment serves to create or enhance for Lincoln what is essentially a separate and distinct additional asset and that, as an inevitable consequence, the payment is capital in nature and not an expense, let alone an ordinary expense, deductible under § 162(a).