https://www.taxtmi.com/caselaws?id=189723 Royalty received under long-term mining leases for coal and other minerals was treated as income, not as a capital receipt or purchase price of minerals. The leases conferred ancillary rights to enter land, sink pits, erect buildings and carry on mining operations, and the recurring payments were fixed by reference to output with a minimum royalty. The Court characterised the royalty as rent or a periodical return from a definite source and held that such receipts were taxable under Indian income-tax law. Earlier Indian authorities treating mineral royalties as income were followed, while English cases were distinguished because of the different statutory setting. en-us Fri, 06 Sep 1940 00:00:00 +0530 Wed, 18 Jan 2017 16:57:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=189723 Royalty received under long-term mining leases for coal and other minerals was treated as income, not as a capital receipt or purchase price of minerals. The leases conferred ancillary rights to enter land, sink pits, erect buildings and carry on mining operations, and the recurring payments were fixed by reference to output with a minimum royalty. The Court characterised the royalty as rent or a periodical return from a definite source and held that such receipts were taxable under Indian income-tax law. Earlier Indian authorities treating mineral royalties as income were followed, while English cases were distinguished because of the different statutory setting. Case-Laws Income Tax Fri, 06 Sep 1940 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=189723