https://www.taxtmi.com/caselaws?id=215307 The Revenue's appeal against the Income Tax Appellate Tribunal's decision to dismiss their appeal was unsuccessful. The Tribunal upheld the calculation of royalty at 3% of the net ex-factory sale price as per the agreement with Telkoku Piston Ring Company Ltd. The Tribunal considered previous court decisions on technical knowledge transfer agreements and determined the royalty payments as revenue expenditure, emphasizing the non-transferable and confidential nature of the technical information. Consequently, the Tribunal found the royalty payments deductible as revenue expenditure, leading to the dismissal of the appeal. en-us Tue, 24 Jul 2012 00:00:00 +0530 Mon, 30 Jul 2012 10:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=215307 The Revenue's appeal against the Income Tax Appellate Tribunal's decision to dismiss their appeal was unsuccessful. The Tribunal upheld the calculation of royalty at 3% of the net ex-factory sale price as per the agreement with Telkoku Piston Ring Company Ltd. The Tribunal considered previous court decisions on technical knowledge transfer agreements and determined the royalty payments as revenue expenditure, emphasizing the non-transferable and confidential nature of the technical information. Consequently, the Tribunal found the royalty payments deductible as revenue expenditure, leading to the dismissal of the appeal. Case-Laws Income Tax Tue, 24 Jul 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=215307