https://www.taxtmi.com/highlights?id=34221 The Finance Act, 2002 itself indicates that during the relevant assessment year compensation received by the Assessee under non-competition agreement was a capital receipt, not taxable under the 1961 Act. It became taxable only with effect from 1.4.2003. It is well settled that a liability cannot be created retrospectively - HC en-us Sat, 08 Apr 2017 10:48:02 +0530 Sat, 08 Apr 2017 10:48:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=34221 The Finance Act, 2002 itself indicates that during the relevant assessment year compensation received by the Assessee under non-competition agreement was a capital receipt, not taxable under the 1961 Act. It became taxable only with effect from 1.4.2003. It is well settled that a liability cannot be created retrospectively - HC Highlights Income Tax Sat, 08 Apr 2017 10:48:02 +0530 https://www.taxtmi.com/highlights?id=34221