https://www.taxtmi.com/caselaws?id=9666 Consideration received on a sub-lease was treated as premium for transfer of valuable leasehold rights, not as advance rent, because the real nature of the transaction prevailed over its description in the deed. The arrangement was examined against the long-term lease, the right to sub-lease, the lump-sum payment, and the surrounding circumstances, and the amount was found to represent a price for alienation of leasehold interest. The taxing authority's computation, which separated the cost of acquiring the leasehold interest from the transfer proceeds, was accepted, and the resulting surplus was taxable as short-term capital gains. en-us Fri, 03 Mar 2006 00:00:00 +0530 Sun, 28 Jun 2009 13:50:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=9666 Consideration received on a sub-lease was treated as premium for transfer of valuable leasehold rights, not as advance rent, because the real nature of the transaction prevailed over its description in the deed. The arrangement was examined against the long-term lease, the right to sub-lease, the lump-sum payment, and the surrounding circumstances, and the amount was found to represent a price for alienation of leasehold interest. The taxing authority's computation, which separated the cost of acquiring the leasehold interest from the transfer proceeds, was accepted, and the resulting surplus was taxable as short-term capital gains. Case-Laws Income Tax Fri, 03 Mar 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=9666