https://www.taxtmi.com/caselaws?id=337658 The Tribunal allowed the appeal, ruling in favor of the assessee company. It held that the compensation payment to the former Managing Director should be treated as salary, not as non-compete fees or capital expenditure. The Tribunal emphasized that the payment was in accordance with the employment agreement due to a merger, and documentation supported the nature of the payment. The decision overturned the assessing officer's addition to the total income and set aside the Commissioner's decision, deleting the disallowance. en-us Wed, 21 Sep 2016 00:00:00 +0530 Thu, 12 Jan 2017 08:37:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=337658 The Tribunal allowed the appeal, ruling in favor of the assessee company. It held that the compensation payment to the former Managing Director should be treated as salary, not as non-compete fees or capital expenditure. The Tribunal emphasized that the payment was in accordance with the employment agreement due to a merger, and documentation supported the nature of the payment. The decision overturned the assessing officer's addition to the total income and set aside the Commissioner's decision, deleting the disallowance. Case-Laws Income Tax Wed, 21 Sep 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=337658