https://www.taxtmi.com/caselaws?id=66889 A non-exclusive, time-bound technical collaboration arrangement was treated as a trading licence rather than a transfer of an enduring capital asset, so compensation for premature termination was held to be revenue in nature and taxable on accrual under the mercantile system when the right to receive became legally due. The Tribunal also noted that an additional ground on interest under section 234B was not admitted for lack of a proper basis below. Power subsidy was treated as non-taxable on the facts. Entertainment and legal expenses were partly disallowed with limited relief, while shrinkage was allowed only partly. Deduction claims under sections 80HH and 80-I, and set-off of earlier losses, were rejected. en-us Fri, 03 Jan 1997 00:00:00 +0530 Tue, 08 Mar 2011 10:13:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=66889 A non-exclusive, time-bound technical collaboration arrangement was treated as a trading licence rather than a transfer of an enduring capital asset, so compensation for premature termination was held to be revenue in nature and taxable on accrual under the mercantile system when the right to receive became legally due. The Tribunal also noted that an additional ground on interest under section 234B was not admitted for lack of a proper basis below. Power subsidy was treated as non-taxable on the facts. Entertainment and legal expenses were partly disallowed with limited relief, while shrinkage was allowed only partly. Deduction claims under sections 80HH and 80-I, and set-off of earlier losses, were rejected. Case-Laws Income Tax Fri, 03 Jan 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=66889