https://www.taxtmi.com/caselaws?id=267579 The High Court of Bombay dismissed the Revenue's appeal, affirming the Tribunal's decisions on the taxability of non-compete consideration and its treatment in book profit calculations under the Income-tax Act, 1961. The court emphasized the distinction between compensation for loss of agency and compensation for restrictive covenants, ruling that the non-compete consideration was a capital receipt until the relevant amendment. The court also held that the Assessing Officer cannot question the correctness of the profit and loss account prepared in accordance with the Companies Act for determining book profits under section 115JA. en-us Tue, 30 Jun 2015 00:00:00 +0530 Mon, 09 Nov 2015 16:29:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=267579 The High Court of Bombay dismissed the Revenue's appeal, affirming the Tribunal's decisions on the taxability of non-compete consideration and its treatment in book profit calculations under the Income-tax Act, 1961. The court emphasized the distinction between compensation for loss of agency and compensation for restrictive covenants, ruling that the non-compete consideration was a capital receipt until the relevant amendment. The court also held that the Assessing Officer cannot question the correctness of the profit and loss account prepared in accordance with the Companies Act for determining book profits under section 115JA. Case-Laws Income Tax Tue, 30 Jun 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=267579