https://www.taxtmi.com/caselaws?id=9832 The High Court held that the advance lease amount received by an assessee-firm for leasehold rights of a film should be taxed in the year of receipt, rejecting the assessee's attempt to spread it over five years. The Court emphasized that income accrues when the right to receive it vests, regardless of payment timing or accounting method. The entire consideration was deemed taxable in the year of the agreement, supporting the Tribunal's decision and ruling in favor of the Revenue. The judgment clarifies the tax treatment of advance lease amounts based on the vesting of rights, ensuring consistent tax treatment in similar cases. en-us Fri, 16 Jun 2006 00:00:00 +0530 Wed, 01 Jul 2009 18:50:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=9832 The High Court held that the advance lease amount received by an assessee-firm for leasehold rights of a film should be taxed in the year of receipt, rejecting the assessee's attempt to spread it over five years. The Court emphasized that income accrues when the right to receive it vests, regardless of payment timing or accounting method. The entire consideration was deemed taxable in the year of the agreement, supporting the Tribunal's decision and ruling in favor of the Revenue. The judgment clarifies the tax treatment of advance lease amounts based on the vesting of rights, ensuring consistent tax treatment in similar cases. Case-Laws Income Tax Fri, 16 Jun 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=9832