https://www.taxtmi.com/caselaws?id=184438 A lump sum paid under a separate restrictive covenant in a bona fide service agreement was treated as consideration for the post-termination restraint, not as remuneration for services as director or manager. Because the payment was made for undertaking a covenant that operated after employment ended, it did not constitute a profit arising from office or employment chargeable under Schedule E. Its commercial connection with the service agreement did not alter its separate contractual character, and the sum was therefore not taxable as employment income. en-us Tue, 15 Dec 1942 00:00:00 +0630 Fri, 08 Jul 2016 16:15:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=184438 A lump sum paid under a separate restrictive covenant in a bona fide service agreement was treated as consideration for the post-termination restraint, not as remuneration for services as director or manager. Because the payment was made for undertaking a covenant that operated after employment ended, it did not constitute a profit arising from office or employment chargeable under Schedule E. Its commercial connection with the service agreement did not alter its separate contractual character, and the sum was therefore not taxable as employment income. Case-Laws Income Tax Tue, 15 Dec 1942 00:00:00 +0630 https://www.taxtmi.com/caselaws?id=184438