CA 1971, 48 TC 257;  Ch 288;  1 WLR 442;  1 All ER 681
A company acquired several cinemas that needed repairing and decorating. The cinemas continued to operate and were repaired over a number of years. The state of the cinemas when purchased did not affect their purchase price. It was held that the repairs were a revenue expense as the cinemas continued to be operated. In addition, the expenditure followed the accounting treatment of being charged to the profit and loss account and was thus deductible for tax purposes.